SVM's McLean warns of threat from 'blue-chip dinosaurs'

Beware 'blue-chip dinosaurs'

Colin McLean, managing director of SVM Asset Management, argues that big companies with high dividend yields 'may no longer merit their quality label'.

Technology and global competition are spurring big changes across many sectors, and the revolution may eliminate some traditional industries which face significant disruption from new business models. What were once strengths in older businesses – size, capital and brand – could no longer be success factors. Historic strengths may become a millstone. Instead, competitive edge is now emerging from scaleable, capital-lite business models leveraging an online presence – often with mobile delivery. For investors looking to capitalise on growth opportunities, it is essential to assess whether...