In the post-pandemic world, with the Federal Reserve tightening its monetary policy and rising recession fears, investors are looking for protection from market swings. Some of the bluest chips on the market have posted double-digit negative returns this year. For example, Walt Disney is down 19.78% YTD and Amazon has lost 14.12%. The S&P 500 is currently down 9.84% YTD, which creates good opportunities, especially since the index is expected to be as much as 16% higher one year from today. Therefore, investing in blue chip stocks is an attractive strategy for investors who are looking to balance risk and reward.

Below we present a product embedding three blue chip stocks with conditional capital protection and a guaranteed coupon payment. 

The Walt Disney Company (DIS UN) is a worldwide entertainment company. The firm had an excellent third quarter, thanks to big increases in live-sports viewership, and significant subscriber growth at its streaming services. In the last fiscal quarter, 14.4 million Disney+ subscribers were added, reaching a total of 221 million subscriptions across Disney’s streaming offerings. Revenues for the quarter grew 26%. Disney is now increasing the price of its ad-free Disney+ subscription in the US from $7.99 to $10.99, which will help limit losses. 

Amazon (AMZN UW) recently announced its second quarter results ended June 20, 2022. The results were better-than-expected: net sales increased 7% to  $121.2 billion, compared with $113.1 billion in Q2 2021. In August, Amazon started the process of acquiring the robot vacuum maker iRobot for $1.7 billion. Thanks to this deal, Amazon will be able to increase its presence in consumer robotics. 

Meta Platforms (META UW) expects Q3 2022 total revenue to be in the range of $26-28.5 billion. Now the company is moving towards new experiences like augmented and virtual reality. The  decrease in revenues and the challenging period the company is going through due to increasing competition have contributed to its share price decrease. Nevertheless, Meta has several evident competitive advantages and should be able to return to modest growth thanks to its new ad product for Reels.