John Hancock Preferred Income ETF

JHPI

Market cap $114M

The U.S. bond market declined in Q4 2024 as bond yields rose sharply despite Fed rate cuts, driven by strong economic data and geopolitical factors. The John Hancock Preferred Income ETF outperformed its benchmark due to strong security selection in the banking sector and preferred stock, but underperformed in the communications and energy sectors. Opportunities exist in lower capital structures of high-quality businesses for income generation and capital preservation, with a preference for defensive sectors like electric utilities.

PFFA is a well-diversified and consistently top-performing preferred stock ETF, enabled by management's bold allocation strategy.