Investors who still want to keep their exposure to preferred may be better suited with a diversified ETF.
“Buying individual stocks requires a lot of research and time. It’s best left to pros,” according to Abby Woodham, an ETF analyst at Morningstar. “For investors who don’t have the time and desire, ETFs are a good, cheap alternative. What’s the likelihood you will beat the index if you do the research? Probably low.”
iShares S&P US Preferred Stock Index Fund
For more information on preferred stocks, visit our preferred stocks category.
Max Chen contributed to this article.