.One economic firm is making an effort to profit from participating preferred stocks u00e2 $" which bring more threats than connects, but aren't as risky as popular stocks.Infrastructure Funds Advisors Creator and also chief executive officer Jay Hatfield manages the Virtus InfraCap USA Participating Preferred Stock ETF (PFFA). He leads the firm's trading as well as organization growth." Higher turnout connects as well as favored stocksu00e2 $ u00a6 have a tendency to perform much better than other fixed income categories when the securities market is tough, and also when our company are actually emerging of a securing pattern like our company are actually now," he said to CNBC's "ETF Edge" this week.Hatfield's ETF is up 10% in 2024 as well as practically 23% over the past year.His ETF's three top holdings are actually Regions Financial, SLM Organization, and also Power Transfer LP as of Sept. 30, depending on to FactSet. All three inventories are up about 18% or more this year.Hatfield's group chooses labels that it views as are actually mispriced about their threat and also turnout, he claimed. "A lot of the leading holdings remain in what our team contact asset demanding organizations," Hatfield said.Since its May 2018 creation, the Virtus InfraCap U.S. Participating Preferred Stock ETF is down almost 9%.