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In the investment world, a "Blue Chip" refers to a well-established, financially stable company with a history of reliable performance. The term originates from poker, where blue chips hold the highest value. Blue Chip companies like Apple, Berkshire Hathaway, and Coca-Cola are known for their resilience, consistent growth, and reliable dividends. Investing in Blue Chip stocks can contribute to the stability and long-term growth of a diversified portfolio. However, like all investments, they come with risks and their value can fall as well as rise.
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