State Street SPDR ICE Preferred Securities ETF

PSK

Market cap $724M

State Street SPDR ICE Preferred Securities ETF faces heightened risks due to its high financial sector concentration and effective duration exposure. Rising yields across the curve and reinflation risks threaten the debt component of PSK, putting into question its relative resilience. Equity exposures in PSK, mainly financials, are vulnerable to higher debt costs and macroeconomic pressures, adding downside risk.

PrairieSky Royalty Ltd. (PSK:CA) Q4 2025 Earnings Call Transcript

SPDR® ICE Preferred Securities ETF (PSK) receives a renewed 'Sell' rating due to persistent underperformance versus peers. PSK's portfolio is 66.7% weighted to financial issuers, heightening systemic risk. PSK's share price has dropped 20% since 2009, and distributions declined 9.6% in 10 years.

PrairieSky Royalty Ltd. (TSX:PSK:CA ) Q3 2025 Earnings Call October 21, 2025 8:30 AM EDT Company Participants Andrew Phillips - President, CEO & Non-Independent Director Michael Murphy - Vice-President of Geosciences & Capital Markets Pamela Kazeil - Senior VP of Finance & CFO Conference Call Participants Patrick O'Rourke - ATB Capital Markets Inc., Research Division Jeremy McCrea - BMO Capital Markets Equity Research James Kubik - CIBC Capital Markets, Research Division Presentation Operator Ladies and gentlemen, thank you for standing by.

The SPDR ICE Preferred Securities ETF offers diversified exposure to preferred securities, with a strong 70% allocation to the financial sector and an attractive 6.61% distribution yield. The fund's portfolio is primarily composed of fixed-rate preferred stocks and baby bonds, balancing yield and credit quality (average Baa2-Baa3). With a 10-year NAV total return of 2.62% and a moderate 0.45% expense ratio, PSK is a solid choice for income-focused investors seeking stability.

SPDR® ICE Preferred Securities ETF offers diversified exposure to preferred securities, with 156 holdings and a 10-year total return of 2.45%. The portfolio is mainly investment-grade, averaging Baa2-Baa3 credit ratings, and yields between 5.5% and 7.83% depending on security type. 46% of assets are fixed-rate preferreds below par, offering a 6.42% yield, while 23% are fixed-rate bonds below par yielding 7.05%.

SPDR ICE Preferred Securities ETF (PSK) focuses on investment-grade preferred stocks and securities, with $811.11MM in assets and a 0.45% expense ratio. PSK's portfolio includes 42% fixed-rate preferred stocks below par, 22% fixed-rate bonds below par, and 7% fixed-to-floating stocks above par. The fund's average credit rating is Baa3, with an average yield to worst of 6.08% and a current yield of 5.49%.

SPDR® ICE Preferred Securities ETF strategy focuses on investing in U.S. dollar denominated non-convertible preferred stocks with specific criteria. The PSK ETF portfolio is heavily weighted towards financial companies, with the top 4 issuers being major banks. PSK has underperformed several competitors and experienced a decrease in both distributions and price over 20% in 10 years.

We take a look at the action in preferreds and baby bonds through the second week of April and highlight some of the key themes we are watching.

We take a look at the action in preferreds and baby bonds through the fourth week of March and highlight some of the key themes we are watching. Preferreds had a good week as Treasury yields fell on the back of the Fed's more dovish than expected stance. We take a look at how stocks with different spreads over SOFR could react to Fed's cuts.