Recession Resistant Funds and ETFs

If you don’t have a lot of capital to deploy or simply want to limit to your exposure to any individual names here are some mutual funds and ETFs that you might want to consider:

MUTUAL FUNDS

1. Vice Fund (VICEX)
“The Vice Fund invests in companies, both domestic and foreign, engaged in the aerospace and defense industries, owners and operators of casinos and gaming facilities, manufacturers of gaming equipment such as slot machines, manufacturers of cigarettes and other tobacco products, and brewers, distillers, vintners and producers of other alcoholic beverages”

2. T. Rowe Price Health Sciences (PRHSX)
“To invest at least 80% of net assets in common stocks of companies engaged in the research, development, production, or distribution of products or services related to health care, medicine, or the life sciences. While the fund can invest in companies of any size, the majority of fund assets are expected to be invested in large- and mid-capitalization companies.”

3. MFS Utilities (MMUFX)
"The fund focuses on utilities stocks believed to have strong growth prospects. These stocks generally come from the gas and electric utilities, telecommunications, and cable TV industries. A portion of the portfolio is typically invested in bonds and convertible securities.”

ETF’s

1. Utilities Select Sector SPDR Fund (XLU)
The Utilities Select Sector Index includes companies from the following
industries: electric utilities; multi-utilities; independent power producers &
energy traders; and gas utilities. The funds objective is to provide investment results that, before expenses, correspond generally to the price and yield performance of the index components that compose the utilities sector of the S&P 500.

2. PowerShares Dynamic Utilities Portfolio (PUI)
“The PowerShares Utilities Portfolio (Fund) seeks to replicate, before fees and expenses, the Utilities Intellidex. The Intellidex thoroughly evaluates companies based on a variety of investment merit criteria, including fundamental growth, stock valuation, investment timeliness and risk factors. Securities shown to possess the greatest capital appreciation potential are selected by the Index and incorporated by the portfolio manager.”

3. Health Care SPDR (XLV)
The Health Care SPDR tracks companies in the health care sector and includes companies primarily involved with health care equipment and supplies, health care providers and services, biotechnology, and pharmaceuticals industries. The funds objective is to provide investment results that, before expenses, correspond generally to the price and yield performance of the index components that compose the health care sector of the S&P 500.

4. PowerShares Dynamic Healthcare Services Portfolio (PTJ)
“The PowerShares Dynamic Healthcare Services Portfolio (Fund) is based on the Dynamic Healthcare Services Intellidex Index. The Index thoroughly evaluates companies based on a variety of investment merit criteria, including fundamental growth, stock valuation, investments and risk factors. Securities shown to possess the greatest capital appreciation potential are selected by the Index and incorporated by the portfolio manager.”