August 1, 2024, 3:15 pm EDT
Defensive Portfolio
Defensive portfolios will outperform others when the stock market is in deep trouble.
Our featured portfolio was set a few months ago (at the end of April). The last time there was a change was more than three months ago.. As we can see there are many highs today (KO, LMT) when the stock market suffered one of the worst drops today (DJIA -700 points or -1.7%, S&P 500 -2%, Nasdaq -3%).
In addition, some positions pay high dividends (KO +3%, XOM +3%, KMI +5%, VZ +6.5%).
We have published many articles since the beginning of 2024 to emphasize that the market top is near us which is the main motivation we shift our positions with defensive style. Here defensive means to sustain the storm and keep producing profits.
Our viewpoint is still the same that the worst is yet to come for the stock market.
