Nuveen Preferred and Income ETF

NPFI

Valor de mercado US$ 160 mi

Fast-tracking mega IPOs into major indexes and the case for active preferred ETFs were both on the agenda for this week's ETF Prime. Host Nate Geraci welcomed Rich Lee, head of program trading and execution strategy at Baird, and Douglas Baker, portfolio manager and head of preferred securities at Nuveen.

Nuveen Preferred and Income ETF offers institutional preferred exposure with active management, global diversification, and a high investment-grade allocation. NPFI's portfolio is roughly 81% investment grade, with significant exposure to global systemically important banks and a unique 51.5% non-US issuer mix. Risk-adjusted returns have outperformed peers: 2025 return of +9.21%, Sharpe ratio of 2.17, and annualized volatility around 3.3%.

Nuveen Preferred And Income ETF offers a 6% yield with low volatility and moderate company-specific risk but heavy bank exposure. NPFI's portfolio is 81.3% investment grade, 51.5% non-US issuers, and 70.5% banks.

As of late May, actively managed fixed income ETFs had already gathered $35 billion. This was equal to a 38% share of the category's net inflows for the year.

NEW YORK , March 6, 2024 /PRNewswire/ -- Nuveen, the investment manager of TIAA, has expanded its exchange traded fund (ETF) lineup, building on the firm's long-established history of delivering income solutions with the launch of three actively managed taxable fixed income strategies. Also launching today is the Nuveen Sustainable Core ETF, an actively managed equity strategy, seeking attractive long-term returns by allocating across investment styles and risk characteristics based on market conditions.