High-falutin' and high quality stocks. Think: Disney, American Express, Coke. Basically, anything Warren Buffett owns.
These stocks are usually from large companies that have a track record of making profits and making money for investors. A stock representing ownership in a company considered to be a leader in its field, a very safe investment, and/or likely to appreciate in value.
Debra is ultra-conservative, while her husband, Dean, has always been more of a rebel. When it came time to start investing in their nest egg, Dean wanted to buy stock in risky, unproven companies with significant upside, if successful. Debra preferred investing in blue chip stocks, as they were more likely to continue their success and appreciate, albeit over a longer period of time, aligning well with their plan to buy a house in several years. Dean acquiesced, realizing that Debra had a well-conceived plan, while he had no such cause. Also, because he'd grown tired of sleeping on the couch.
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Finance: What is a Blue Chip?18 Views
Finance a la shmoop, what is a blue-chip? Alright people think kids, plastic, poker
chipset, remember those cheap plastic poker chips? [Someone looking at their cards]
Yeah the the whites were supposed to be a penny [The money equivalents of the chips are shown]
the Reds were a nickel and the Blues the most highly valued chips in the set well
they were worth a dime and that's where the name came from the highly valued
blue chip and it refers to high-quality, highly valued companies Disney, Coke and [Logos of the blue chip companies]
in today's world Google, Amazon, Shmoop alright maybe not Shmoop. All right but
the rest of those companies are blue chips which have a long track record of [Blue chip stamp]
growing profits if not revenues for a very long period of time and they have
corporate cultures that are all about winning [People playing poker with their heads replaced by briefcases with company logos on them]
whatever game they're in so go blue, well sure them too... [Football player is tackled]
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