7 Overlooked Blue-Chip Stocks to Buy for Eagle-Eyed Investors

I am quoted in this Investorplace/Business Insider article:

I’m not the only one who thinks blue-chip stocks will outperform for the rest of the year. Speaking with InvestorPlace via email, University of Maryland Clinical Professor of Finance David Kass said: “So far in 2021, blue-chip stocks have outperformed high-risk high-return investments. As of June 5, 2021, the Dow Jones Industrial Average, which consists of 30 large blue-chip companies, has increased by 13.6%, while the Nasdaq (made of more high-risk, high-return stocks) has risen by only 7.2%. The S&P 500, which is heavily weighted by the large blue chip stocks, is up by 12.6%. This relative relationship is likely to persist throughout the balance of the year.

Interest rates are likely to be stable or increase slightly in the second half of 2021. Any increase in interest rates should result in high-risk, high-return stocks further underperforming blue chip stocks since future cash flows of high risk companies will be discounted at a higher rate resulting in lower valuations relative to blue chip companies that have more reliable income streams over the near term.”