Which of the following statements regarding defensive stocks is true?
A) They are often expected to have above-average future growth.
B) They often have high P/E multiples.
C) They are expected to be adversely affected by high interest rates.
D) They often produce necessary items such as food and prescription drugs.

Question

Quizplus · Accepted Answer

Defensive stocks are typically associated with companies that produce essential goods and services, such as food and prescription drugs, which are in constant demand regardless of economic conditions.

Which of the Following Statements Regarding Defensive Stocks Is True