Blue-chip stocks are the ivy league of investment stocks. They are shares of companies known for steady cash flow, solid balance sheets, reliable business structure, and excellent performance history. And like coca-cola or Nestle, these underlying companies are household names that have stood the test of time.
Their excellent performance and track records over time make blue-chip stocks some of the most secured investments. They should form a part of your diversified portfolio to help balance the possible losses in market downturns.
Your portfolio would be incomplete without blue-chip stocks.
It’s vital to have blue-chip stocks in your portfolio. But before we dive into that, let’s have a quick overview of blue-chip stocks.
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