Inside PFFA: Beating the Preferred Index

Video Description

In this exclusive interview, I sit down with Jay Hatfield, Founder, CEO, and Portfolio Manager of InfraCap, for a deep dive into the PFFA fund: a high-yield preferred stock ETF. With a 9% yield, consistent monthly distributions, and a track record of outperforming the preferred stock index, PFFA should be on every income investor's radar. We discuss the strengths and weaknesses of this fund since its inception, and its outlook for the future. ➡️ Join Armchair Insider to receive my Portfolio (it's free): https://armchairinsider.beehiiv.com/subscribe ✏️ LINKS FROM TODAY'S EPISODE: ➡️ My #1 Research Tool: Seeking Alpha ($30 Coupon +Free Trial): https://armchairincome.link/SeekingAlpha ➡️ My Favorite Dividend Tracker, Snowball: (Create a Free Account, and the 10% Discount will appear under "Subscribe"): https://armchairincome.link/snow PFFA Review by Armchair Income: https://youtu.be/FaQ0HApEhYM ======================================= Timestamps: 00:00 Introduction 00:20 Why is PFFA your largest personal investment? 02:01 Why do companies issue preferred shares? 03:11 Are preferred shares misunderstood? 06:24 How do you manage credit risk? 10:30 How do interest rates affect preferred shares? 14:25 Is PFFA weighted more towards fixed or floating rate preferred shares? 17:15 Can you manage market risk? 18:17 How did the pandemic affect PFFA distributions? 21:16 Did any of the PFFA holdings declare bankruptcy during the pandemic? 23:48 Was the pandemic the most dramatic example of market risk? 25:10 Did you reduce leverage after the pandemic? 26:10 PFFA outperformed its largest competitor, PFF, since its 2018 inception 26:30 Can you explain the difference in long term performance between PFFA and PFF? 28:26 When is a good time to buy or sell PFFA? 32:10 How would you characterize the stability of the distributions from PFFA? 33:16 What's the relationship between Virtus and Infracap? 33:58 How much of the expense ratio is management fee versus interest expense? 37:28 What is the tax treatment for PFFA? 39:27 What are your expectations for interest rates and PFFA over the next 1 - 2 years? 44:08 What are your expectations for PFFA's distributions over the next 1 - 2 years? ======================================= 🤓 DETAILED INFORMATION: ✅ Seeking Alpha: My #1 source of income investment information. I've been a subscriber for more than 7 years and my favorite feature is the collection of analysis articles for any given stock or fund. https://www.sahg6dtr.com/R42XQZ/R74QP ✅ Snowball Portfolio Tracker: Keep track of your stocks, ETFs, CEFs, MLPs, etc in one easy-to-use place. View upcoming dividend payouts, daily/monthly/yearly income. Subscribe to the Free Account, and the 10% Discount will appear: https://armchairincome.link/snow (or enter "armchairincome" for the Promo Code) ------------------------------------------------------ The information on this Youtube channel and the resources available, are for educational and informational purposes only, and should not be construed as financial advice. No information provided by the channel should be considered as a recommendation that any particular security or investment is suitable for any specific person. Always do your own research before investing. Some links provided above may be associated with affiliate programs. If so, use of those links will not incur any additional cost to the user (and will, in many cases, provide a benefit to the user) and may result in a referral commission to this channel. Examples of companies with affiliate links offered on this channel include Snowball, and Seeking Alpha. The content of this channel represents the presenter’s opinions, which may not reflect those of the companies with which the channel has an affiliate relationship. If any episodes on this channel are sponsored, there will be a verbal disclosure during the video, and a written disclosure in the description of that video, identifying the sponsor. All opinions and views mentioned in this video or corresponding reports constitute our judgments as of the date of publication and are subject to change at any time. Information within this material is not intended to be used as a primary basis for investment decisions and should also not be construed as advice meeting the particular investment needs of any individual investor. Trading signals produced by Armchair Income are independent of other services provided by Armchair Income or its affiliates, and positioning of accounts under their management may differ. Please remember that investing involves risk, including loss of principal, and past performance may not be indicative of future results. Armchair Income, its members, officers, directors and employees expressly disclaim all liability in respect to actions taken based on any or all of the information provided here. AI music made by Suno #armchairincome