How do you feel when a stock you own drops 10%, 15%, 20% or more on a piece of news that has nothing to do with the company’s fundamentals? If you’re like many investors, price action like that may chase you out of that stock. 

But it’s not the stock you hate; it’s the uncertainty. And it’s that uncertainty that makes high-yield, fixed-income investments look awfully attractive.  

But if you have at least 5 to 10 years before you need to start cashing out your investments, getting out of stocks completely is almost always a bad decision. In most cases, you’re simply leaving too much upside on the table. 

It’s true; there’s no way to take all the risk out of a stock. Even the best stocks can go through wicked downturns. Balancing risk and reward is a part of stock investing. 

And one way to manage that risk is by setting aside part of your portfolio in defensive stocks.  

Defensive stocks are those of companies that offer products and services that consumers need, even in times of uncertainty. When the market is moving up sharply, these stocks can underperform. However, the defensive nature of these stocks shines when growth stocks are under pressure.  

These stocks often come from blue-chip companies, which means they come with a dividend. This provides you with passive income to spend or to reinvest and reap the benefits of compounding when you hold your investments over time.  

In this special presentation, we’re highlighting seven defensive stocks that are a good fit in any investor’s portfolio when you’re looking for solid long-term growth.