Australian Investment Blog

Investors regularly make comments similar to "I am a conservative investor and only buy Blue Chip stocks" but does this make sense?

So far, 2015 has been a tough year for investors with the ASX200 falling 5% compared to the S&P500 rallying 2.1%. A major contributor to this underperformance is the weak Australian economy which has led to the $A falling from 81.75c to 71.5c while we type.

Clearly overseas investors do not see good value investing in the overall local share market when the currency depreciates around 12.5% in the year.

Let's consider how some of these household-name Blue Chips, favoured by retail investors, have fared in 2015 compared to the 5% fall in the ASX200.