ETFis Series Trust I - InfraCap REIT Preferred ETF (PFFR)

Overview

The InfraCap REIT Preferred ETF (PFFR) is an actively managed ETF that invests primarily in preferred securities issued by real estate investment trusts (REITs). It aims to provide current income with a secondary objective of capital appreciation.

Reputation and Reliability

The issuer, ETFis Series Trust I, is a smaller ETF provider. Reliability depends on the fund's performance and adherence to its stated objectives.

Management Expertise

The management team's expertise lies in real estate and fixed income markets, particularly preferred securities.

Goal

The primary investment goal of PFFR is to provide current income.

Investment Approach and Strategy

Strategy: PFFR is actively managed and does not track a specific index. It aims to select preferred securities of REITs based on fundamental analysis and market conditions.

Composition The ETF primarily holds preferred stocks issued by REITs.

Market Share: PFFR's market share in the REIT preferred ETF space is moderate.

Total Net Assets (AUM): 86968134

Key Competitors

• iShares Preferred and Income Securities ETF (PFF)
• Global X SuperIncome Preferred ETF (SPFF)
• Invesco Preferred Portfolio ETF (PGX)

Competitive Landscape

The REIT preferred ETF industry is competitive. PFFR distinguishes itself through active management focused exclusively on REIT preferreds, potentially offering higher income but also higher risk than passively managed, broader preferred ETFs. Competitors like PFF offer broader diversification but may have lower yields.

Historical Performance: Historical performance data is not explicitly provided but is available via financial sources. Investors should review past performance to assess long-term trends.

Benchmark Comparison: Performance should be compared to a broad preferred stock index or a REIT preferred stock index if available.

Expense Ratio: 0.83

Average Trading Volume

The average trading volume of PFFR is moderate, which can affect the ease of buying and selling shares.

Bid-Ask Spread

The bid-ask spread varies depending on market conditions and can impact trading costs.

Market Environment Factors

Economic indicators like interest rates, inflation, and REIT sector performance significantly affect PFFR. Changes in interest rates particularly impact preferred stock valuations.

Growth Trajectory

Growth depends on the REIT sector's performance and the management team's ability to select high-quality preferred securities. Changes in strategy and holdings will be found in the ETF's regulatory filings.

Competitive Edge

PFFR's competitive edge lies in its active management and focus solely on REIT preferreds. This concentrated approach allows for specialized expertise in a specific segment of the preferred market. The active management strategy aims to identify undervalued or higher-yielding opportunities within REIT preferreds. This focus can potentially generate higher income and capital appreciation, differentiating it from broader, passively managed preferred ETFs, but it also adds layers of risk due to the smaller pool.

Volatility

PFFR's volatility is influenced by interest rate sensitivity and the volatility of the underlying REIT preferred stocks.

Market Risk

Market risk includes interest rate risk, credit risk associated with the REIT issuers, and REIT sector-specific risks.

Ideal Investor Profile

The ideal investor is seeking current income, has a moderate risk tolerance, and understands the REIT sector and preferred securities.

Market Risk

PFFR may be suitable for long-term investors seeking income, but active traders could also use it for short-term strategies depending on market conditions.

The InfraCap REIT Preferred ETF (PFFR) is an actively managed ETF that focuses on REIT preferred stocks, aiming to generate current income. Its active management and concentrated approach offer potential advantages but also introduce specific risks. The ETF is suitable for income-seeking investors with a moderate risk tolerance and an understanding of the REIT and preferred stock markets. The ETF's performance is closely tied to interest rate movements and the overall health of the REIT sector and careful observation is required.

Data Sources:

• ETF provider's website
• Financial data providers (e.g., Bloomberg, Morningstar)
• ETF.com

Disclaimers:

Data is for informational purposes only and should not be considered investment advice. Past performance is not indicative of future results. Investment involves risk, including the potential loss of principal.