5 Defensive ETFs to Buy Before Recession

4. iShares MSCI USA Quality Factor ETF (BATS:QUAL)

iShares MSCI USA Quality Factor ETF (BATS:QUAL) is an exchange traded fund that tracks the investment returns of the MSCI USA Index. The fund invests at least 90% of assets in component securities of the underlying index. 

A premier holding of iShares MSCI USA Quality Factor ETF (BATS:QUAL) is Costco Wholesale Corporation (NASDAQ:COST), a firm that owns and runs membership warehouses. At the end of the fourth quarter of 2021, 57 hedge funds in the database of Insider Monkey held stakes worth $5.4 billion in Costco Wholesale Corporation (NASDAQ:COST), up from 55 in the preceding quarter worth $4.3 billion.