Where is best sector for safety and yeild in a bear market? Utilities?

Hi there,

The problem with a question like this is you just don't know. Why? Every real bear market experienced over the past few decades (Dot.com bust in late 90s, early 2000s, '08 financial crisis and Covid) were vastly different. In each of those markets, no single industry stood out across all of them. Each time, a different one outperformed and where considered the 'safe' stocks.

That being said, the most defensive stocks are usually those that are considered blue chips. SO large cap companies that pay a dividend and whose demand for their products remain regardless of market conditions. So yes, utilities certainly fit that description. Think of consumer staple stocks, grocers, pipelines, apartment REITs (People need a place to live) and healthcare stocks (which we don't have too many here in Canada).

Of note, our foundational stocks are good examples of stocks that should hold up well in most environments and in many cases, pay a decent yield. .

Mat