How Preferred Stock ETFs Yield 6 Percent in a 3.6 Percent Rate World

Episode 42 of ETF Investing with Fexingo explores the quiet outperformance of preferred stock ETFs in a rate-pause environment. With the Fed funds rate stuck at 3.63 percent and bonds like the AGG yielding under 3.5 percent, preferreds have become a go-to for income seekers without reaching into junk. Lucas and Luna break down how the iShares Preferred and Income Securities ETF (ticker PFF) works, why its ~6 percent yield holds up when rates don't move, and the key risk: call risk. They compare it to investment-grade corporates (LQD at 4.8 percent) and high-yield (HYG at 6.2 percent but way more volatility). A concrete, data-driven look at a niche slice of the ETF market that's delivering for income portfolios right now. #PreferredStockETF #PFF #IncomeInvesting #FixedIncome #DividendInvesting #RatePause #FedFundsRate #BondMarket #ETFs #Finance #Investing #PortfolioConstruction #CallRisk #YieldChasing #iShares #SectorETF #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo