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InvestorPlace Experts’ Big Winners of 2011 and Top Trades for 2012

A look at some of the smartest-money plays of the year

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Louis Navellier’s Top Trade for 2012

Reynolds American (NYSE: RAI)In 2012, there are going to be pockets of strength in a number of sectors, and you want broad exposure to reduce risk and maximize gains. One of those pockets is in big blue chips with dividends. The race to safety is under way, and these stocks, known for steady and reliable profits and payments, are seeing increases in buying pressure. As a result, many will outperform those hot stock tips or IPOs usually associated with big profits.

My pick to capitalize on this pocket of strength is Reynolds American (NYSE:RAI) — it’s an excellent large-cap stock that yields a hefty 5.4%. Management recently announced a massive stock buyback program to the tune of $2.5 billion though mid-2014. The company also raised its full-year outlook, which is a great sign for the year ahead. Now, tobacco companies will always get bad press and regulatory sparks, but in my experience, these are great buying opportunities. If you add to your shares on any short-term dips, you’re going to be very pleased with your profits — and still earn a 5.4% dividend.

Visit Navellier’s Blue Chip Growth here.

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