.One financial company is attempting to profit from participating preferred stocks u00e2 $" which bring more dangers than bonds, however aren't as high-risk as typical stocks.Infrastructure Funds Advisors Creator and also CEO Jay Hatfield manages the Virtus InfraCap USA Preferred Stock ETF (PFFA). He leads the provider's investing and organization development." Higher return connects and liked stocksu00e2 $ u00a6 tend to accomplish far better than various other preset income categories when the stock exchange is actually tough, as well as when we are actually coming out of a tightening pattern like our team are actually now," he said to CNBC's "ETF Edge" this week.Hatfield's ETF is actually up 10% in 2024 and nearly 23% over the past year.His ETF's 3 leading holdings are Regions Financial, SLM Company, and also Power Transfer LP as of Sept. 30, according to FactSet. All three inventories are up around 18% or even more this year.Hatfield's staff chooses names that it regards are actually mispriced about their threat and also return, he pointed out. "Many of the leading holdings remain in what our company phone asset extensive companies," Hatfield said.Since its Might 2018 creation, the Virtus InfraCap United State Preferred Stock ETF is actually down almost 9%.