What does a blue-chip fund mean?

Many investors will be exposed to the word blue-chip fund, which looks very high-end. What does a blue-chip fund mean? I will answer your questions. The so-called blue-chip fund naturally refers to a fund that mainly holds blue-chip stocks and mainly invests in blue-chip stocks. Blue chip refers to the common stock of a company that has a stable profit record, can regularly pay rich dividends and is recognized as outstanding performance, also known as "blue chip". Many funds have flexible shareholding styles and can add blue-chip heavyweights in stages. Therefore, if it is limited again, another meaning of blue-chip funds is that their shareholding style is relatively stable and they always focus on blue-chip investment. Among the blue-chip stocks, the core assets and heavy stocks of open-end funds have performed well, and the overall performance of the fund continues to outperform the broader market. The strength of blue-chip stocks has also driven the performance of some large-cap blue-chip style funds to improve again. Investors are advised to focus on these high-quality funds that can adhere to their own investment style, be unmoved by market trends, and have a long-term vision in order to obtain long-term rich returns.