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Derivatives Videos 155 videos

Finance: What is Collateralized Mortgage Obligation (CMO)?
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What is Collateralized Mortgage Obligation (CMO)? A CMO is a mortgage bond that consists of a large number of different individual mortgages bundle...

Finance: What is Counterparty Risk?
9 Views

What is Counterparty Risk? Counterparty risk is the risk to either party within a transaction that the other will not or be unable to abide by the...

Finance: What is Painting The Tape?
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Painting the tape is an illegal way to manipulate stock prices. And yes, it’s still illegal, even if you paint it super pretty.

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Finance: What is a Blue Chip? 18 Views


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Description:

What is a Blue Chip? Blue chip stocks are stocks with very large market caps; basically meaning their issued stock is worth a lot of money. These companies are very well established and successful making them safe long-term investment options.

Language:
English Language

Transcript

00:00

Finance a la shmoop, what is a blue-chip? Alright people think kids, plastic, poker

00:09

chipset, remember those cheap plastic poker chips? [Someone looking at their cards]

00:12

Yeah the the whites were supposed to be a penny [The money equivalents of the chips are shown]

00:14

the Reds were a nickel and the Blues the most highly valued chips in the set well

00:18

they were worth a dime and that's where the name came from the highly valued

00:23

blue chip and it refers to high-quality, highly valued companies Disney, Coke and [Logos of the blue chip companies]

00:30

in today's world Google, Amazon, Shmoop alright maybe not Shmoop. All right but

00:35

the rest of those companies are blue chips which have a long track record of [Blue chip stamp]

00:38

growing profits if not revenues for a very long period of time and they have

00:43

corporate cultures that are all about winning [People playing poker with their heads replaced by briefcases with company logos on them]

00:46

whatever game they're in so go blue, well sure them too... [Football player is tackled]

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