Defensive Investment Strategy

Defensive Investment Strategy

An investment strategy in which a money manager seeks to protect the client's investment. A defensive investor seeks low risk, low return securities such as bonds, certificates of deposit, and some blue chip stocks.
References in periodicals archive ?
However, Stephen Lowe, group communication director at financial services group Just, cautioned: "As the pension fund grows and retirement nears, the money at stake gets larger and the time to recover from disaster gets smaller, so there remains a strong case for some to shift to a more defensive investment strategy to stop a sudden asset price shock derailing a plan to retire around a certain date.
The fund targets to join a defensive investment strategy with a target annual return of four percent above the money market.
At the conclusion of 1993, after evaluating both the potential impact of FASB 115 and expected changes in monetary policy on the fixed income markets a defensive investment strategy for 1994 was adopted and all securities owned at that time were classified as investments held to maturity.