Summary
PFFA Chart
PFFA's 9.9% Yield Hides A Leverage And Call Risk Problem
The Virtus InfraCap U.S. Preferred Stock ETF (NYSEARCA:PFFA) pays $0.1725 per share every month, which works out to roughly a 9.9% forward yield at a recent share price near $21.
Preferred Stocks are Yielding 8.5% But Here's The Leverage Risk Hiding Inside PFFA
If you own Virtus InfraCap U.S. Preferred Stock ETF (NYSEARCA:PFFA) for the income, the question that matters is whether that fat distribution will still be there next year.
PFFA: A Must-Own Retirement Income Machine, 10% Paid Monthly
Preferred shares offer high-priority contractual distributions like debt while capturing juicy equity yields backed by strict common dividend suspension rules. Unlike standalone companies or closed-end funds, PFFA's ETF structure ensures you can exit at or near NAV at any moment. Outperforming the Index: Active capital allocations and a disciplined overlay of modest leverage have allowed PFFA to aggressively crush passive index peers.
Virtus InfraCap U.S. Preferred Stock ETF Investors
| Name | Quantity | Cost | Value | Profit ($) | Gain (%) |
|---|---|---|---|---|---|
| JD Jim Dushek HARBOUR INVESTMENTS Inc. | 16,128 | $335,709.99 | $338,768.64 | $3,058.65 | 0.91% |
| WDW William Dudley Webb Jr. WORLD EQUITY GROUP Inc. | 79,787 | $1.73M | $1.68M | -$47,192.14 | -2.73% |
| LJB Laura J. Bornheimer GWN SECURITIES Inc. | 17,993 | $372,556.18 | $377,853 | $5,296.82 | 1.42% |
 Field & Main Bank Field & Main Bank | 1,850 | $39,391.5 | $38,896.25 | -$495.25 | -1.26% |
| RR rosemary richard WCG Wealth Advisors LLC | 10,333 | $222,676.15 | $217,251.32 | -$5,424.83 | -2.44% |
Virtus InfraCap U.S. Preferred Stock ETF (PFFA) FAQ
What is the stock price today?
On which exchange is it traded?
What is its stock symbol?
Does it pay dividends? What is the current yield?
What is its market cap?
Has Virtus InfraCap U.S. Preferred Stock ETF ever had a stock split?
Virtus InfraCap U.S. Preferred Stock ETF Profile
| ARCA Exchange | US Country |
Overview
The fund is designed for investors seeking exposure to the U.S. preferred stock market. It aims to achieve its investment objective by allocating not less than 80% of its net assets, along with any borrowings for investment purposes, towards U.S. preferred stocks and instruments with similar economic characteristics. To manage the fund's assets, the Sub-Adviser employs a combination of quantitative, qualitative, and relative valuation analysis. Given its concentration on preferred stocks, the fund operates as a non-diversified fund, meaning it may invest a larger portion of its assets in fewer issuers than a diversified fund.
Products and Services
- U.S. Preferred Stock Investments:
The primary focus of the fund is on investments in preferred stocks issued by U.S. companies. Preferred stocks are a type of equity investment that typically provides income through dividends. These stocks have preferential treatment over common stocks in the payment of dividends and upon liquidation but usually do not have the voting rights associated with common stocks.
- Derivatives and Similar Instruments:
In addition to direct investments in U.S. preferred stocks, the fund may engage in derivatives and other financial instruments that mimic the economic characteristics of preferred stocks. The use of derivatives can include futures, options, and swap agreements, which are employed to enhance returns, manage risk, or gain exposure to specific assets or markets without directly owning the underlying asset.
