Been noticing a lot of portfolio anxiety lately with all the geopolitical noise and market swings we're seeing. The VIX is up over 50% since the start of the year, which honestly tells you everything about where investor sentiment is at right now. If you're looking to dial back the chaos without completely bailing on stocks, defensive ETFs might be worth exploring.

I've been looking at two that keep coming up in conversations. The Vanguard High Dividend Yield ETF is one of those boring-but-solid picks. It holds 562 stocks, mostly established companies like JPMorgan Chase, Broadcom, and ExxonMobil. The expense ratio is basically negligible at 0.04%, and the dividend yield sits around 1.7%. The logic here is straightforward - mature businesses with consistent dividend payments tend to hold up better when things get messy. It's not flashy, but that's kind of the point with defensive ETFs.

Then there's the iShares MSCI USA Minimum Volatility ETF, which takes a different approach. Instead of chasing dividends, it's specifically built to minimize portfolio swings. You're looking at 170 holdings with Duke Energy, Johnson & Johnson, and ExxonMobil among the top positions. The expense ratio is 0.15% - slightly higher but still pretty reasonable for what you're getting. The real tell is the 3-year beta of 0.59, which means this thing moves about 40% less than the broader market. For anyone who wants stock exposure but doesn't want to ride every wave, defensive ETFs like this one actually make sense.

Neither of these is going to make you rich quick, obviously. But if you're thinking about 2026 portfolio construction and want something that doesn't require you to check your phone every time there's a headline, these are solid building blocks. The whole point of defensive ETFs is giving yourself a smoother ride without completely sitting out the market.