it puts the unit in defense mode, so the unit gets a flat + 5 defense plus whatever bonus it has for improved defense mode (defensive trait +10 def, shields add +5 to +20 depending on type of shield) additionally, the guard ability adds the base defense of the caster to the buffed unit, which can be pretty high considering defender champs can wear plate armor. timing is important, though (probably too important), since it only lasts until the buffed unit acts. so if you buff a unit that is next in the initiative list, it's pretty much useless.
one reason why this ability is so weak is that the caster isn't affected, so he loses his own defense stance when casting the ability.