Dennis Stattman, whose BlackRock Global Allocation Fund has an excellent long-term track record, says big blue chips are offering lots of value.

Stattman tells Bloomberg that blue chip companies like  Johnson & Johnson and Microsoft have global franchises, strong cash flows, and solid dividend yields these days. “We can’t find a stock among the 20 or 30 biggest U.S. companies that looks expensive,” Stattman says. He adds that because these big firms have global businesses, they can reap the benefits of faster-growing markets in Asia.

“Good management teams at these companies will put the earnings to work and increase the value of the businesses over time,” said Stattman, who is holding much less in Treasuries than his peers. “I would rather own good companies with managements that go to work every day than a piece of paper from the government of which there will be more next week and the week after,” he says. “Ten years from now we may look back and say, ‘Man, what were people thinking buying long-term bonds at those yields.’ ”