Global X U.S. Preferred ETF Delivers 6.2% Yield With 0.23% Fee
Global X U.S. Preferred ETF pays 6.2% annual yield with a 0.23% expense ratio on $2.3 billion in assets, delivering consistent $0.10 monthly dividends since April 2025. The fund’s price has only risen 1% over five years and remains sensitive to interest rate shifts that could pressure preferred stock valuations.
1. Fund Overview
Global X U.S. Preferred ETF packages preferred stocks into a single vehicle, paying a 6.2% yield with a 0.23% annual expense ratio on $2.3 billion in assets. The fund has delivered a steady $0.10 per share monthly distribution since at least April 2025, appealing to income-focused investors.
2. Performance and Risk Profile
PFFD’s price has increased just 1% over the past five years, reflecting its income-oriented structure rather than capital growth. Preferred stocks are vulnerable to rising interest rates, which can undermine fixed dividend competitiveness and drive share prices lower despite recent rate cuts providing support.