At a glance
PFF charges 0.45% a year, below the 0.92% average of the 4 funds most like it (the 3rd cheapest of 5). It has $13.10B in assets, the largest of that group; it paid 5.8% of its price in distributions over the past 12 months, monthly. Over the past year it returned −4.5% with distributions reinvested (S&P 500: +11.5%), 3rd of those 5 funds; over three years it returned +4.5% a year. At its worst it fell 33.9% in the 2020 crash (S&P 500: 33.7%) and 18.5% in the 2022 bear market (S&P 500: 24.5%), and was back at its earlier high 7 months and 23 months after the lows. Its ten largest positions make up 19.6% of the fund, out of 455 in all.
The short version
iShares Preferred & Income Securities ETF (PFF) is BlackRock's index fund tracking the ICE Exchange-Listed Preferred & Hybrid Securities Index, holding about 455 U.S.-dollar preferred stocks and hybrid securities. It pays income monthly, with a trailing 12-month yield of 5.71% as of October 29, 2026. It is the largest of the similar funds we compare, and its 0.45% fee is about half the 0.92% peer average.
Price history
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PFF -4.5% over the year to Nov 2, 2026, total return with distributions reinvested.
How it has behaved
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | Since start | |
|---|---|---|---|---|---|---|
| PFF official prospectus, to Dec 31, 2025 | — | +4.70% | — | +1.54% | +3.47% | — |
| MSCI USA Index index, same period | — | +17.75% | — | +13.87% | +14.79% | — |
| PFF price data to Nov 2, 2026 | -5.0% | -4.5% | +4.5% | -0.8% | +2.6% | +3.4% |
- Over the year to Nov 2, 2026, PFF returned -4.5%, 3rd of 5 among similar funds.
- Its 5-year annualized return was -0.8% and its 10-year +2.6%.
- In the 2020 COVID crash it fell 33.9% and regained its old high 6.6 months after the low.
- Its worst full calendar year was 2008 (-23.9%); its best was 2009 (+38.7%).
- The deepest fall in its price history was 65.5% (May 14, 2007 to Mar 6, 2009), recovered by Jul 26, 2010.
Show as a table
| Year | Price data | Prospectus (official) |
|---|---|---|
| 2026 (to date) | -5.0% | — |
| 2025 | +4.8% | +4.70% |
| 2024 | +7.3% | +7.87% |
| 2023 | +9.2% | +9.32% |
| 2022 | -18.2% | -18.37% |
| 2021 | +7.2% | +7.09% |
| 2020 | +7.9% | +7.94% |
| 2019 | +15.9% | +15.62% |
| 2018 | -4.6% | -4.77% |
| 2017 | +8.1% | +8.33% |
| 2016 | +1.3% | +1.26% |
| 2015 | +4.3% | — |
| 2014 | +14.1% | — |
| 2013 | -1.0% | — |
| 2012 | +18.2% | — |
| 2011 | -2.0% | — |
| 2010 | +13.8% | — |
| 2009 | +38.7% | — |
| 2008 | -23.9% | — |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Lost 63.6% over that stretch · deepest drop along the way 64.6%, back to its old high 12.2 months after the low |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Lost 30.9% over that stretch · deepest drop along the way 33.9%, back to its old high 6.6 months after the low |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Lost 18.5% over that stretch · deepest drop along the way 18.5%, back to its old high 23.2 months after the low |
Dividends and income
Show as a table
| Year | Per share | Change |
|---|---|---|
| 2026 (to date) | $1.2184 | |
| 2025 | $1.9400 | -2.5% |
| 2024 | $1.9900 | -4.3% |
| 2023 | $2.0800 | +13.7% |
| 2022 | $1.8300 | +4.0% |
| 2021 | $1.7600 | -4.3% |
| 2020 | $1.8400 | -7.7% |
| 2019 | $1.9932 | -7.8% |
| 2018 | $2.1622 | +1.5% |
| 2017 | $2.1298 | -2.2% |
| 2016 | $2.1780 | -2.7% |
| 2015 | $2.2389 | -10.1% |
| 2014 | $2.4912 | +2.4% |
| 2013 | $2.4322 | +2.1% |
| 2012 | $2.3830 | -4.2% |
| 2011 | $2.4867 | -12.5% |
| 2010 | $2.8435 | -1.5% |
| 2009 | $2.8881 | +4.6% |
| 2008 | $2.7606 |
Living on PFF: its income record, cuts, and how much a $1,000 monthly income takes →
What's inside
As of Jun 30, 2026, the fund held 455 securities; the ten largest made up 19.6% of assets.
| Holding | Weight | |
|---|---|---|
| BOEING COMPANY (THE) Preferred stock | 3.93% | |
| STRATEGY INC Preferred stock | 2.95% | |
| WELLS FARGO & COMPANY Preferred stock | 2.33% | |
| ORACLE CORP Preferred stock | 2.28% | |
| HEWLETT PACKARD ENTERPRISE COMPANY Preferred stock | 1.76% | |
| BANK OF AMERICA CORP Preferred stock | 1.45% | |
| CITIGROUP CAPITAL XIII Preferred stock | 1.31% | |
| ALBEMARLE CORP Preferred stock | 1.29% | |
| MICROCHIP TECHNOLOGY INC Preferred stock | 1.16% | |
| NEXTERA ENERGY INC Preferred stock | 1.12% | |
| NEXTERA ENERGY INC Preferred stock | 1.08% | |
| KKR & CO. INC Preferred stock | 1.05% | |
| SOUTHERN COMPANY (THE) Preferred stock | 1.01% | |
| JP MORGAN CHASE & COMPANY Preferred stock | 0.95% | |
| BRIGHTSPRING HEALTH SERVICES INC Preferred stock | 0.93% |
By country
United States 95.25%Bermuda 2.25%Canada 0.9%Marshall Islands 0.21%United Kingdom 0.07%By asset type
Preferred stock 98.66%Bonds and notes 0.01%By sector
Sectors of the companies held, for the 42.9% of the fund in companies that have a stock page here; other holdings and cash aren't classified. Source: N-PORT holdings report as of Jun 30, 2026. Cash, money-market funds and derivatives are shown separately from the securities list.What changed recently
- Over the three months to Jun 30, 2026, investors withdrew a net $356.7M (creations minus redemptions, per the N-PORT report).
- Monthly total returns reported for that quarter: +4.45%, +0.53%, -2.65%.
How it works
PFF follows the ICE Exchange-Listed Preferred & Hybrid Securities Index, run by ICE Data Indices, which is independent of BlackRock. The index holds U.S.-dollar preferred stocks, hybrid securities and convertible preferreds listed on the New York Stock Exchange or Nasdaq Capital Market. Preferred stock pays a set dividend that must be paid before common shareholders get anything, but it usually carries no vote. Hybrids mix bond and stock features. To qualify, a preferred issue needs more than $100 million outstanding, a convertible preferred at least $50 million and a hybrid at least $250 million.
Holdings are weighted by market value, with any one issuer capped at 4.75%, and the index rebalances monthly. The mix includes fixed-rate, floating-rate and fixed-to-floating securities, callable issues (which the issuer can buy back early) and mandatory convertibles, which turn into common stock on a set date. Mandatory convertibles from Boeing, Oracle and Hewlett Packard Enterprise were among the largest positions as of June 30, 2026.
BlackRock Fund Advisors uses representative sampling, meaning it holds a set of securities designed to behave like the index rather than every component. At least 80% of assets must be in index components. The fund may use derivatives, though it held none as of June 30, 2026. It may also lend securities worth up to one-third of its total assets.
What it really costs
- PFF charges 0.45% a year, versus an average of 0.92% for the similar funds below (3rd of 5, cheapest first).
- Using the prospectus's standard example, $10,000 invested would cost about $46 in the first year and $567 over 10 years (assuming a 5% annual return).
| Cost of $10,000 (SEC example) | 1 yr | 3 yrs | 5 yrs | 10 yrs |
|---|---|---|---|---|
| PFF | $46 | $144 | $252 | $567 |
In a retirement portfolio
PFF pays monthly income from preferred and hybrid securities, with a 5.71% trailing yield as of October 29, 2026, but it has fallen sharply alongside stocks in crises.
PFF's main contribution is monthly income: about $1.64 per share over the 12 months to October 29, 2026, a 5.71% yield. The 0.45% fee works out to $46 in the first year on $10,000 under the SEC's standard example. It is not a defensive holding. PFF fell 64.6% in the 2008 financial crisis and did not recover until March 2010. Its worst calendar year was 2008, at -23.9%. It dropped 33.9% in the 2020 COVID crash and 18.5% in the 2022 bear market, which took 23.2 months to recover. Selling shares to cover spending in years like those would have meant locking in losses. Growth has been modest: 3.47% a year over the 10 years to December 31, 2025. Past results don't predict the future, and a plan should look at the whole portfolio, not one fund.
Who it may suit — and who should look elsewhere
May suit
- Income-focused investors who want monthly payouts; the trailing 12-month yield was 5.71% as of October 29, 2026.
- Those wanting broad preferred exposure in one fund: about 455 holdings, the top 10 at 19.6%, and each issuer capped at 4.75%.
- Investors who prefer a large, long-running fund: launched in March 2007, with $13.1 billion in net assets as of June 30, 2026.
Look elsewhere if
- Cost-focused buyers: Global X U.S. Preferred ETF (PFFD) charges 0.23% versus PFF's 0.45%, though it follows a different strategy.
- Anyone needing stable value: PFF fell 64.6% in the 2008 crisis, 33.9% in early 2020 and 18.5% in 2022.
- Those seeking growth: PFF averaged 3.47% a year over the 10 years to December 31, 2025, versus 14.79% for the MSCI USA Index.
Close alternatives
Matched by holdings overlap from the latest N-PORT reports.
| Fund | Overlap | Cost | Net assets | 1 yr | 3 yr |
|---|---|---|---|---|---|
| PFF this fund | — | 0.45% | $13.10B | -4.5% | +4.5% |
| PFFD Global X U.S. Preferred ETF · different strategy | 70% | 0.23% | $2.15B | -6.2% | +5.8% |
| PGX Invesco Preferred ETF · different strategy | 51% | 0.51% | $3.73B | -9.2% | +5.3% |
| PFXF VanEck Preferred Securities ex Financials E… · different strategy | 41% | 0.4% | $2.63B | 0.0% | +10.1% |
| PFFA Virtus InfraCap U.S. Preferred Stock ETF · different strategy | 26% | 2.52% | $2.45B | -3.6% | +11.9% |
Questions investors ask
Does PFF pay monthly dividends?
Yes. PFF pays distributions every month. Over the 12 months to October 29, 2026, it paid about $1.64 per share, a trailing yield of 5.71%. The amount is not fixed. It depends on dividends from the fund's roughly 455 holdings, and issuers of preferred stock and hybrid securities can defer or skip payments. The prospectus also warns that income may fall when securities are called and replaced with lower-yielding ones.
Is PFF good for retirement income?
It can supply monthly income, but it also suffers stock-like drops. The yield was 5.71% as of October 29, 2026, and the annual fee is 0.45%. Yet PFF fell 64.6% in the 2008 financial crisis, 33.9% in the 2020 COVID crash and 18.5% in the 2022 bear market. It took 23.2 months to recover from that last decline. Retirees who may need to sell shares during a downturn face that risk directly.
What's the difference between PFF and PFFD?
Both hold U.S. preferred securities, and about 70% of their holdings overlap, but they follow different strategies. Global X U.S. Preferred ETF (PFFD) charges 0.23% a year, compared with 0.45% for PFF. PFF is far larger: $13.1 billion in net assets as of June 30, 2026, against $2.2 billion for PFFD as of August 31, 2026. Through late October 2026, PFFD returned -6.2% over one year and PFF -4.0%. Over three years, they returned 5.8% and 6.6% a year.
Is PFF sensitive to interest rates?
Yes. The prospectus says preferred stocks carry fixed-income risks, including interest rate risk. When rates rise, existing securities paying fixed dividends look less attractive, so their prices tend to fall. Some of PFF's holdings are fixed-to-floating securities. These switch to a variable rate after a fixed period and can be less sensitive to rate changes. PFF lost 18.37% in 2022, its worst calendar year from 2016 through 2025.
What does PFF hold?
Mostly U.S. preferred stock, which made up 98.7% of assets as of June 30, 2026, spread across about 455 holdings. The largest were Boeing's 6% mandatory convertible preferred (3.9%), Strategy Inc's variable-rate perpetual preferred (2.9%), Wells Fargo's 7.5% Series L convertible preferred (2.3%) and Oracle's 6.50% mandatory convertible preferred (2.3%). The top 10 made up 19.6% of the fund. The prospectus says a significant portion of the index was in financial companies as of March 31, 2026.