Defensive Stock
Definition
Shares of companies that provide essential goods or services and remain stable during economic downturns.
Example
Utility and consumer staples companies are defensive stocks that hold value in recessions.
Related Terms
Frequently Asked Question
What is a Defensive Stock?
A Defensive Stock is shares of a company providing essential goods or services that remain stable during economic downturns. Utility companies, consumer staples, and healthcare firms are common defensive holdings.
APA Citation
Last updated:
· Source: VixShield Trading Glossary — From SPX Mastery by Russell Clark
⚠️ Not financial advice. This definition is educational content from the SPX Mastery book series by Russell Clark (VixShield). Past performance is not indicative of future results. Trading options involves substantial risk of loss and is not appropriate for all investors. Always paper trade before risking real capital.