Infrastructure Capital Advisors has launched the firm’s newest ETF, the InfraCap Equity Income Fund ETF (NYSE Arca: ICAP).
ICAP is an actively managed ETF overseen by portfolio manager and InfraCap Founder & CEO Jay D Hatfield. ICAP will primarily invest in equity securities of companies with a strong track record of paying dividends during normal market conditions.
“Investors are always looking for income, however, today’s historically low interest rate environment and considerable inflation pressures make it difficult to identify income opportunities,” says Hatfield. “We are very pleased to be bringing ICAP to market at this time, as this highly differentiated equity income approach seeks to provide investors and advisors with a key building block in constructing a well-diversified income-generating portfolio.”
Hatfield further notes that ICAP’s portfolio of equities will generally be a diversified selection of securities, including a broad cross-section of sectors and sub-sectors, such as REITs, Utilities, Industrials, pipelines, and financials. In a further attempt to boost yield and reduce ICAP’s portfolio beta during normal markets, Hatfield will also opportunistically select preferred securities for inclusion – an area Hatfield and the InfraCap team knows well, as a manager of preferred-focused portfolios, including the Virtus InfraCap U.S. Preferred Stock ETF (NYSE Arca: PFFA).
ICAP joins an InfraCap ETF lineup that has grown significantly in recent years, and which recently passed the USD1 billion cumulative asset mark. Hatfield is the portfolio manager for the fund family which includes the Virtus InfraCap U.S. Preferred Stock ETF (NYSE Arca: PFFA), InfraCap REIT Preferred ETF (NYSE Arca: PFFR), and InfraCap MLP ETF (NYSE Arca: AMZA).
