Today's Preferred ETF Options: What's Not There Matters
October 29, 2020 at 07:00 AM EDT
With bond yields tumbling, it would be easy to think that these would be go-to days for preferred stocks and related ETFs. That’s not the case. Many traditional preferred ETFs allocate substantial portions of their rosters to preferreds issued by financial services, which are seeing net interest margins depressed by the Federal Reserve’s assault on interest rates.