The Best Preferred Stock ETFs, Compared
The preferred ETFs we track, by current yield · updated after each session · data as of July 24, 2026 (end-of-day, not real-time)
If you want the income of preferred stocks without picking individual issues, a preferred-stock ETF hands you a diversified basket in a single ticker — professionally managed, monthly or quarterly income, and no prospectus-reading required. The trade-off is a management fee and less control over what you own.
Below are the preferred ETFs we track, ranked by current yield so you can compare what each one pays. But the highest yield is not automatically the best fund — the leader on this list is a leveraged product. Read past the table for what actually separates them.
| Symbol | Issuer | Price | Current yield |
|---|---|---|---|
| PFFL | ETRACS 2x Leveraged Preferred ETN | $7.40 | 12.55% |
| PFFA | Virtus InfraCap U.S. Preferred Sto | $20.43 | 10.13% |
| PFFR | InfraCap REIT Preferred ETF | $17.70 | 8.34% |
| PFFV | Global X Variable Rate Preferred E | $22.00 | 7.16% |
| PSK | SPDR ICE Preferred Securities ETF | $30.26 | 7.14% |
| PFXF | VanEck Preferred Securities ex Fin | $17.39 | 6.56% |
| PFFD | Global X U.S. Preferred ETF | $18.36 | 6.54% |
| SPFF | Global X SuperIncome Preferred ETF | $9.29 | 6.46% |
| PGX | Invesco Preferred ETF | $10.71 | 6.29% |
| FPE | First Trust Preferred Securities & | $17.74 | 6.12% |
| PGF | Invesco Financial Preferred ETF | $13.54 | 6.01% |
| FPEI | First Trust Institutional Preferre | $19.07 | 5.81% |
| PFF | iShares Preferred & Income Securit | $30.16 | 5.64% |
| PFLD | AAM Low Duration Preferred & Incom | $19.58 | 5.21% |
| VRP | Invesco Variable Rate Preferred ET | $24.16 | 4.53% |
Yields are based on recent distributions and the latest price; they move with the market. Figures are end-of-day, not real-time.
Higher yield isn’t automatically better
The fund at the top of the list is usually leveraged — it borrows to amplify both the income and the risk, so it belongs in the “tactical,” not “core,” bucket. Actively managed funds that use leverage sit just below it.
The plain-vanilla funds most investors build around are the big diversified index ETFs — Global X’s PFFD, iShares’ PFF (the largest by assets), and SPDR’s PSK. They yield less than the leveraged names but are broad, liquid, and lower-drama. Others carve out a niche: PFXF strips out financial issuers, PFFV holds variable-rate preferreds (less sensitive to interest rates), and PFFR concentrates on REIT preferreds.
What to weigh before you buy
Leverage. A 2x fund magnifies losses as much as gains. Expense ratio. Fees come straight out of your return. What it holds. Financials-heavy, REIT-focused, or variable-rate baskets behave very differently when rates move. Interest-rate sensitivity. Preferred ETFs are long-duration by nature and fall when rates rise — the variable-rate funds cushion that. And liquidity, which the biggest funds have in spades.
Frequently asked questions
- What is the best preferred stock ETF?
- It depends on your goal. For a broad, low-drama core holding, the largest diversified index funds — PFF and PFFD — are the usual picks. Higher income comes from leveraged or actively managed funds, but with more risk and higher fees.
- Do preferred stock ETFs pay monthly?
- Many do — several of the largest preferred ETFs distribute monthly, which is part of their appeal for income investors. Others pay quarterly. Check each fund’s distribution schedule before assuming.
- Are preferred stock ETFs a good investment?
- They trade a management fee and some control for instant diversification and hands-off income, which suits many income investors. Just remember they are long-duration and fall when interest rates rise, and a leveraged fund amplifies that.
- What is the highest-yielding preferred ETF?
- The top yielder is typically a 2x leveraged fund. Because leverage magnifies losses as well as income, treat the highest-yielding ETF as a tactical position, not a core one.
New to the category? See What is a preferred stock? and Are preferred stocks safe? To pick individual issues instead of a fund, use the screener. Nothing here is investment advice — figures are end-of-day and for informational purposes only.