Most of the blue -
chip companies tend to pay dividends, so you will likely find yourself owning dividend stocks whether that is your purpose or not.
Blue
chip companies tend to be long established, stable companies that suit investors looking for steady returns with less risk.
Not exact matches
The larger
company tends to be risk averse, and the smaller one is more willing to let the
chips fall where they may.
A stronger pound
tends to weigh on the British blue -
chip index as it can reduce revenue made overseas by multinational
companies when it's converted back into sterling.
Growth - income funds, for example,
tend to invest in Blue
Chip companies that pay steady dividends but may also provide capital gains through share price appreciation.
Their values don't «jump around» as much as shares of smaller, riskier
companies, generally speaking, and so conservative investors who like dividend payments and not much risk
tend to like blue -
chip stocks.