Home Financial & Banking Terms What is a Blue Chip Fund?

What is a Blue Chip Fund?

Blue Chip Fund

Blue Chip Fund is a mutual fund investment in Blue Chip Stocks, which are mainly from Blue Chip Companies (TCS, Infosys, HDFC Bank, ICICI Bank, ONGC etc. in India are some of the reputed companies in India) that are financially stable, well known, recognized businesses and probably the market leaders in the industry.

Less Risky Fund

Blue Chip Funds basically carry lesser risk and are safer and secure because the stocks are from well established companies having a long stable and profitable history, paying off dividends in time and maintaining a strong market even when there are economic crisis or fluctuations.

Good Choice for Investment

If you wish to make a long and steady investment, Blue Chip Fund is always a good strategy for conservative investment giving you higher returns without any drawbacks. Blue Chip Fund is typically the best way to grow money than investing in any other financial sources or institutions.

As an investor you may buy shares beginning with a relatively small investment and continue adding to it giving you a capital growth for a longer term. You can be sure that your money is assured and insured in Blue Chip Funds.

2 COMMENTS

Kitty Macalpine February 13, 2016 at 11:23 am

Blue chips don’t sound that good to eat, but they’re good for making profit. When you know that a company has a good reputation from a long history of success, you can be assured that their shares are a good investment.
If you really want to make your money work for you - this is the less risky option in the share market.

supritha February 20, 2016 at 10:35 am

The blue chip fund is explained in the above article along with its risks and advantages of this fund. This chip fund is a mutual investment and is in contact with many different companies around the world. It helps the investor in many different ways and includes growth for a very long duration.