{"id":2815,"date":"2025-11-06T16:00:37","date_gmt":"2025-11-06T08:00:37","guid":{"rendered":"https:\/\/www.syfe.com\/magazine\/?p=2815"},"modified":"2025-11-06T16:09:44","modified_gmt":"2025-11-06T08:09:44","slug":"is-a-core-defensive-portfolio-right-for-you","status":"publish","type":"post","link":"https:\/\/www.syfe.com\/magazine\/is-a-core-defensive-portfolio-right-for-you\/","title":{"rendered":"Is A Core Defensive Portfolio Right For You?"},"content":{"rendered":"\n
\"\"<\/figure>\n\n\n\n

Just as some people\u2019s idea of a good time is to go bungee jumping while others would rather curl up with a good book, everyone has their own distinctive investment style.<\/p>\n\n\n\n

Are you someone who doesn\u2019t like the idea of taking large risks but would still want your investments to at least outpace inflation? A defensive investing strategy may suit you best.<\/p>\n\n\n\n

The building blocks of a defensive portfolio <\/strong><\/h2>\n\n\n\n

A defensive portfolio focuses on low-risk investments to generate steady returns. Although the return potential may be lower compared to a growth-focused portfolio, the higher exposure to bonds helps limit short-term fluctuations. In turn, this could help risk-averse investors sleep more soundly at night. <\/p>\n\n\n\n

Such a portfolio is usually ideal for investors who may be nearing a particular financial goal in the short term (1\u20133 years). For example, if you\u2019re getting close to retirement, you may prioritise capital preservation over market returns because the goal is to make your money last as long as possible throughout your retirement. A bond-heavy portfolio can help reduce the risk a fluctuating market can bring.<\/p>\n\n\n\n

At the same time, even conservative investors need some exposure to equities in order to grow their portfolio for the long-term. This is why defensive portfolios typically hold a modest allocation to equities as well, instead of being fully invested in bonds.<\/p>\n\n\n\n

A look at the new Syfe Core Defensive portfolio<\/strong><\/h2>\n\n\n\n

If you\u2019re looking for a conservative portfolio, Syfe\u2019s newest Core Defensive portfolio could be an option. It is designed for investors seeking stable returns that are better than what a traditional savings account can generate by investing in a diverse mix of bond, gold and stock ETFs<\/a>.<\/p>\n\n\n\n

Here\u2019s a look at its asset allocation and geographical exposure.<\/p>\n\n\n\n

\"\"
Core Defensive Snapshot: Updated as of 31 October 2025<\/em><\/figcaption><\/figure>\n\n\n\n

The portfolio invests in high quality government, investment-grade and high-yield bonds from top markets worldwide through seven carefully selected bond exchange-traded funds (ETFs)<\/a>.<\/p>\n\n\n\n