|Bid||0.00 x 40000|
|Ask||15.09 x 46000|
|Day's Range||0.00 - 0.00|
|52 Week Range|
|PE Ratio (TTM)||N/A|
|YTD Daily Total Return||16.51%|
|Beta (3Y Monthly)||0.82|
|Expense Ratio (net)||0.52%|
Preferred stocks typically aren't first, second or even third to mind when investors think about what they want to include in their portfolios.But if you're an income hunter and you don't already have these stocks on their radar, you might want to give them a look.Preferred stocks are frequently referred to stock-bond "hybrids" because they contain elements of common stock (the type of stock you typically invest in) and bonds. For instance, like common stock, preferreds represent ownership in a company, and they typically trade on exchanges. However, like bonds, preferred stocks typically don't include any voting rights.The primary feature of preferred stocks, however, are their dividends. Preferred stock dividends are actually closer to bond coupon payments in nature, in that they're typically set at a fixed amount. These dividends are high, too, often in the 5%-7% range. Just note that preferred stocks also tend to act more like bonds in that they trade around a par value. So they're a great source of fixed income, but they're not going to shoot considerably higher, like common stocks, as a company grows.While you can easily purchase individual preferred stocks, exchange-traded funds (ETFs) allow you to reduce your risk by investing in baskets of preferreds. That helps to prevent any single preferred-stock disaster from undermining your portfolio.With that in mind, here are three preferred stock ETFs to buy. SEE ALSO: The 19 Best ETFs to Buy Now
As the name suggests, preferred gives the shareholder a place in line ahead of common stock holders, whenever a company pays dividends or distributes assets to shareholders. In other cases, should dividend payments be missed, preferred shareholders get all of their dividend payments before the common shareholders receive anything. Preferred stock might offer more stable cash flow than common stock.
With seasonal volatility, rising interest rates, uncertainty over a tariff war with China and fast-approaching mid-term elections all on the minds of investors, the best ETFs to buy now are those that invest in defensive areas of the market.