.One monetary agency is actually making an effort to maximize preferred stocks u00e2 $" which carry more threats than bonds, however aren't as dangerous as typical stocks.Infrastructure Financing Advisors Creator as well as CEO Jay Hatfield manages the Virtus InfraCap United State Participating Preferred Stock ETF (PFFA). He leads the business's trading and also organization development." High yield connections and chosen stocksu00e2 $ u00a6 usually tend to carry out much better than various other predetermined earnings types when the stock exchange is actually strong, and also when our team are actually visiting of a tightening cycle like our experts are actually currently," he said to CNBC's "ETF Advantage" this week.Hatfield's ETF is up 10% in 2024 and virtually 23% over recent year.His ETF's 3 best holdings are actually Regions Financial, SLM Company, and also Electricity Transfer LP since Sept. 30, depending on to FactSet. All three stocks are actually up about 18% or even more this year.Hatfield's group picks titles that it deems are actually mispriced about their threat and also return, he mentioned. "Most of the best holdings reside in what we get in touch with property extensive services," Hatfield said.Since its own Might 2018 creation, the Virtus InfraCap USA Participating Preferred Stock ETF is actually down almost 9%.