tesco?
2007-08-11 22:48:30 · 2 answers · asked by Anonymous in Business & Finance ➔ Investing
Idea of a 'defensive' stock is one that will not be effected very much by whatever panic is currently gripping the market = i.e. those providing the 'essentials' of life ...
In theory, the 'ultimate' defensive stocks are food, water & power ... (all things that it's difficult to do without)
Problem is, a lot of supermarkets have got into lending money to their customers (Sainsbury credit cards, Tesco loans etc) ...and (of course) every business that has borrowed money (eg to build a new power station) will be effected when interest rates go up ..
My own view is that you are better off looking for bargains amongst the banks etc. that have fallen out of faviour ... not every bank has made large loans to 'sub-prime' lenders .. and not every bank relies on it's retail custromers for it's profits...
2007-08-13 02:02:55 · answer #1 · answered by Steve B 7 · 0⤊ 0⤋
anything to do with food or drink
2007-08-12 09:26:08 · answer #2 · answered by bizzbagg 4 · 0⤊ 0⤋