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5 ETFs to Buy for 2013

Recession-proof ETFs will be the way to go

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As we roll into the new year, investors with a very long-term time horizon should stick with what works — namely, diversify, diversify, diversify. Holding a diversified portfolio is a time-honored, tried-and-true way to achieve returns while keeping risk at a manageable distance.

One of the easiest ways to do that is to allocate a portion of your portfolio to exchange-traded funds — the kings of diversity, allowing you to bundle numerous stocks or leverage other assets into one tradable vehicle.

So with an eye on funds that could see outsized returns in the next year or more, here’s a look at five recession-proof ETFs investors should buy for 2013:

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