Value Line Institutional Services

The Value Line Defensive Top 20 Portfolio

A Smarter Portfolio Solution

While some investors are confident that the current bull market will continue, others think that this historic rally will soon come to an end. For those with bearish expectations, Value Line has created the Defensive Top 20 Portfolio, which has been specifically designed to help investors limit losses during market downturns. In addition to the portfolio consisting of individual equities with defensive attributes, the holdings are expected to participate meaningfully in a rising market. All told, the Defensive Top 20 Portfolio is perfect for cautious investors who want to remain fully invested in stocks. For example, during the financial crisis from 12/31/2007 to 12/29/2008, the S&P Index fell 40%, while the Value Line Defensive Top 20 Portfolio declined only by 20.9%.

On a quarterly basis, Value Line utilizes its time-tested, proprietary ranks and ratings to select 20 stocks that hold favorable risk/reward attributes. Candidates for the portfolio are derived from The Value Line Investment Survey® universe, which includes more than 1,700 stocks that trade on North American exchanges. For inclusion, stocks must also be ranked 1 (Highest) for Safety, as well as meet other Value Line requirements. The stocks also have to possess favorable near-term prospects. Once the Top 20 are selected, they will be kept in the portfolio for at least one quarter, which will lead to relatively low turnover. At the beginning of each calendar year, the portfolio is rebalanced to equal-weighted positions. Contact us for more information >>

Benefits of the Defensive Top 20 Portfolio

  • Manageable number of positions (20)
  • Helps protect assets during market downturns
  • Participates in market rallies
  • Limited turnover
  • Low-risk compared to major market indexes

For more information on the Defensive Top 20 Portfolio or other Smarter Portfolio Solutions, please contact us via phone at 1-800-531-1425 or email at is@valuelinepro.com.
 

 

Sample Holdings

Ticker

Company Name

Industry

PEP

Pepsico Inc

Consumer Staples

BRK/B

Berkshire Hathaway Inc-CL B

Financials

PG

Procter & Gamble Co/The

Consumer Staples

ACGL

Arch Capital Group LTD

Financials

WM

Waste Management Inc

Industrials

T

AT&T Inc

Telecom Services

KO

Coca-Cola Co/The

Consumer Staples

MMC

Marsh & McLennan Cos

Financials

JNJ

Johnson & Johnson

Health Care

UPS

United Parcel Services-CL B

Industrials


 

 

 

 

 

Download Information Sheet >>

 

 

 

Portfolio Stats

NUMBER OF STOCKS:

20

DIVIDEND YIELD:

2.2%

MARKET CAP:

$94.7 BIL

P/E RATIO:

21.3