.One financial firm is trying to capitalize on participating preferred stocks u00e2 $" which carry even more threats than connections, but may not be as unsafe as popular stocks.Infrastructure Resources Advisors Creator and also chief executive officer Jay Hatfield takes care of the Virtus InfraCap U.S. Preferred Stock ETF (PFFA). He leads the firm's investing and also service development." High yield connections as well as favored stocksu00e2 $ u00a6 tend to accomplish far better than various other set income classifications when the stock market is tough, and when we are actually appearing of a securing cycle like we are actually currently," he told CNBC's "ETF Advantage" this week.Hatfield's ETF is actually up 10% in 2024 as well as nearly 23% over the past year.His ETF's 3 best holdings are Regions Financial, SLM Enterprise, as well as Electricity Transactions LP as of Sept. 30, according to FactSet. All 3 sells are actually up approximately 18% or even much more this year.Hatfield's team chooses names that it views as are mispriced relative to their risk as well as return, he pointed out. "Many of the best holdings remain in what we call asset intense businesses," Hatfield said.Since its Might 2018 beginning, the Virtus InfraCap United State Preferred Stock ETF is actually down just about 9%.