The Globe and Mail reports in its Saturday edition in Benjamin Graham's book, The Intelligent Investor, the author pointed defensive investors to stocks with price-to-earnings ratios (P/E) ratios of 15, or less and price-to-book-value ratios (P/B) ratios of 1.5 or less. The Globe's Norman Rotherby, writing in Strategy Lab, says, however, he was willing to be a little flexible when one ratio was too high, provided the other ratio was low enough. To account for such cases, he required the product of the two ratios to not exceed 22.5. The number of stocks that pass the test varies dramatically depending on the state of the market. Thirty-one of the 60 stocks passed Mr. Graham's test at the end of 2008 when the financial system was in acute distress. That number has been getting smaller since then. This week, only six stocks passed the test. They are Teck Resources, Manulife, Brookfield Asset, Power Corp., National Bank and BMO. The stock with the lowest product of ratios is Teck, which trades at only 0.8 times book value and a somewhat lofty 21.1 times earnings. The most expensive stock in the index is SNC, which trades at roughly 111 times earnings and 4.1 times book value.