PFFV News and Press, Global X Variable Rate Preferred From 10/04/22

Summary Elevated inflation, currencies, slowing global economic growth expectations, and reduced central bank liquidity remain key economic considerations. Volatility measured by the VIX spiked in September after declining in August. This wall of worry is real, but it is impor...

Variable rate preferreds tend to offer an attractive mix of higher yield potential and lower duration than other income-oriented asset classes. In analyzing historical performance during rising rate environments, we found that variable rate preferreds typically outperformed broad fixe...

The global economy and financial markets have suffered a dreadful H1 2022, ravaged by a severe commodity shock, strict COVID-19 lockdowns in the world’s second-largest economy, and one of the most aggressive Fed tightening cycles in recent history. H2 looks equally tough. In it...

PFFA generated high returns, as preferred stock helped this ETF earn higher coupons, sail through the market turbulence and generate an attractive pay-out. Preference shares involve risk of dividend deferral as well as risk of falling price and falling yield of preferreds in a rapidly...

Preferred stocks issued by CEFs remain an overlooked sector by income investors. This sector has been supported by a number of themes, allowing it to outperform the broader preferreds space. We highlight a number of attractively-valued preferred securities issued by CEFs. Fo...

Historically, Fed tightening cycles have tended to be followed by recession. This suggests it is not too early to think about some higher-quality, longer-duration assets as potential sources of drier-powder assets. We highlight a number of 6-7% preferred securities that may fit th...

We take a look at the action in preferreds and baby bonds through the last week of April and highlight some of the key themes we are watching. April was the worst month for the sector since March of 2020. The significant drop in preferred prices, while painful, also means that dur...

This report seeks to provide macro-level data and insights across several income-oriented asset classes and strategies. The Fed was forced to play catch up after leaving loose monetary policies in place, despite inflationary pressures spreading across the global economy. Volatilit...

Short-term rates have spiked since the start of the year due to persistent inflation and an increasingly hawkish Fed. Most investor portfolios are likely overweight fixed-coupon longer-duration assets which are vulnerable to further interest rate increases. We highlight three secu...

We all have a basic need to feel safe and secure, this extends to our financial life. Sometimes opportunities arise where more income is available from a safer place. We examine two opportunities. For further details see: 2 Great Preferred Stocks, A Fat Yield +7%, For Sa...