Summary
- The iShares Preferred and Income Securities ETF (PFF) is one of the largest full index-based Preferred stock ETFs.
- The VanEck Vectors Preferred Securities ex Financials ETF (PFXF) is like most Preferred stock ETFs, except it excludes the largest sector in that universe: Financial issuers.
- This article reviews both ETFs and reports how excluding Financial issuers has influenced both returns and risk. Exclusion has resulted in better returns but slightly higher Standard Deviation numbers.
- The risk ratios say "own PFXF". There are other reasons to consider some allocation to that ETF too.
For further details see:
PFF Vs. PFXF: Avoiding Financials Has Worked