Stock Picker: Think Large-Cap, Long-Term
The faltering economy makes fixed-income investments look mighty tempting, but Jeff Layman of BKD Wealth Advisors is advising investors not to overlook badly-battered blue-chip stocks.
"It's tough to identify many near-term catalysts for stocks," he admitted. "Just as you see a bright ray of sunshine in the news, you come around the corner and there's another negative news story."
That aside, Layman sees some unmistakable long-term opportunities.
"If you look at many of the companies out there in the large-cap universe trading at single-digit multiples, offering yields of 4, 5, 6 percent and more, we think that it's a good opportunity in the intermediate- to long-term range to buy those stocks, take the income, take the dividend, and we think we'll see price improvement down the road," he told CNBC.
Layman's picks for long-term equity investments are heavy-equipment producer Caterpillar, drugmaker Pfizer, and switching and routing giant Cisco.
Disclosure information for Jeff Layman was not immediately available.