.One financial organization is attempting to capitalize on participating preferred stocks u00e2 $" which hold additional dangers than bonds, but aren't as risky as usual stocks.Infrastructure Financing Advisors Creator and CEO Jay Hatfield handles the Virtus InfraCap USA Preferred Stock ETF (PFFA). He leads the firm's investing and company progression." High yield connections and also favored stocksu00e2 $ u00a6 tend to carry out much better than other fixed income classifications when the stock market is actually powerful, and also when we are actually emerging of a securing cycle like our experts are right now," he told CNBC's "ETF Upper hand" this week.Hatfield's ETF is actually up 10% in 2024 as well as almost 23% over the past year.His ETF's three best holdings are actually Regions Financial, SLM Organization, and also Power Transmission LP as of Sept. 30, depending on to FactSet. All 3 stocks are up about 18% or even more this year.Hatfield's group picks labels that it regards as are mispriced relative to their risk as well as yield, he stated. "The majority of the top holdings remain in what our experts phone asset extensive businesses," Hatfield said.Since its own Might 2018 inception, the Virtus InfraCap United State Preferred Stock ETF is down just about 9%.