qandaQ: Good article, I like the small value stock analysis and comparison to other ways of investing in stock. What is the best strategy to avoid market loss and invest defensively?

Q: Good article. I like the small value stock analysis and comparison to other ways of investing in stock. What is the best strategy to avoid market loss and invest defensively?


A:  Thanks! For most, the only defensive strategy to protect against loss is the addition of fixed income securities.  For a very small fraction of investors market timing can work.  I have half my own portfolio defended with fixed income and the other half using trend-following market timing strategies.  I will write more about the timing in future articles and podcasts.