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Large-Cap Equity Exposure With An Income Twist: How The Infrastructure Capital Equity Income ETF (ICAP) Gives Investors That And More

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By Meg Flippin, Benzinga

That’s not to say much changed at the June meeting, Warsh’s first as the new leader of the Fed. He left rates unchanged, holding the federal funds rate steady at 3.5% to 3.75%, much to the chagrin of President Donald Trump, who had expected a rate cut from Warsh. 

As the Fed changes under Warsh and investors await the Fed’s next meeting in September, they may want to pay attention to the Infrastructure Capital Equity Income ETF (NYSE: ICAP). After all, ICAP specifically seeks to maximize income and pursue total return opportunities.

Jury Still Out On The Direction Of Interest Rates 

While the Fed plans to hold the federal funds rate steady at 3.5% to 3.75%, Warsh intends to be tough on inflation in the coming months, which some on Wall Street took to mean a quarter-point rate hike could be coming at the September meeting. The consensus currently stands at three rate hikes in 2026 - September, October and December - of 0.25% each. 

But since much of the 4.2% increase in inflation in May was due to energy costs, other investors think the energy-driven inflation will ease once the war in Iran is over and that the Fed will either hold rates steady or eventually cut them. They also argue that the inflation data shows rapid price acceleration may be ending

That back and forth can make it hard for income-seeking investors, which is why quality matters more than ever. Tariffs, high energy costs and sticky inflation have hurt corporate profits in certain industries. As a result, many investors have fled speculative growth stocks and moved into income-paying large caps. 

Infrastructure Capital Equity Income ETF: Gateway To Quality Yield 

Infrastructure Capital Advisors believes investors don’t have to pick a side in the Fed rate debate; they can wait it out with the Infrastructure Capital Equity Income ETF (ICAP) and get exposure to those high-quality income-generating large-cap stocks. 

The fund, which has $113 million in assets under management as of July 8, 2026, seeks to invest at least 80% of its net assets in a diversified portfolio of large-capitalization equity securities that pay dividends. The ETF is actively managed by Infrastructure Capital Founder, CEO and Portfolio Manager Jay D. Hatfield, who brings with him nearly thirty years of experience in the financial markets, offering a broad perspective on stocks, options and investing. Thanks to his extensive experience as an investment banker, portfolio manager and research director, investors get access to a seasoned money manager who has created a successful approach to investing.  

In addition to ICAP, Hatfield runs the InfraCap Small Cap Income Fund (NYSE: SCAP), InfraCap MLP ETF (NYSE: AMZA), InfraCap REIT Preferred ETF (NYSE: PFFR), Virtus InfraCap U.S. Preferred Stock ETF (NYSE: PFFA) and a series of hedge funds. Infrastructure Capital Advisors reports it manages more than $3.5 billion in total assets (as of June 30, 2026). With this money manager, you're in experienced hands. 

Hatfield has a hands on approach to selecting companies for the ICAP ETF that includes maintaining proprietary company models and relationships with the management teams to determine earnings estimates and forward-looking outlooks, establishing price targets using a dynamic relative valuation framework based on the relationship between price, earnings and growth and employing a selective option writing strategy and modest leverage of typically 15-30% to enhance income while retaining upside market exposure. Plus, investors get either a monthly payout or income that is reinvested. 

The core holdings in the fund include Citizens Financial Group Inc., NextEra Energy Inc., Marvell Technology Inc. and Toll Brothers Inc., giving investors a diversified basket of leaders across a broad array of industries. Fund holdings are subject to change. Please see current top ten holdings by clicking here.

The markets are breathlessly waiting for the Fed’s next action, but while they do, participants can seek income with the Infrastructure Capital Equity Income ETF, getting exposure to high-quality large-cap stocks that pay a dividend. 

Inflation may be rising, and volatility may be center stage, but with the ICAP, you get monthly income and an active shield against market swings. To learn more about the ICAP ETF, click here

Past performance does not guarantee future results.

Investing involves risk. Loss of principal possible.

Investors should consider the investment objectives, risks, charges, and expenses carefully before investing. For a prospectus with this and other information about the Fund, please click here. Please read the prospectus carefully before investing. For more information about the Fund, Fund strategies or Infrastructure Capital, please reach out to Craig Starr at 212-763-8336 (Craig.Starr@icmllc.com).

A word about risk:  Investing involves risk, including possible loss of principal. An investment in the Fund may be subject to risks which include, among others, investing in equities securities, dividend paying securities, utilities, small-, mid- and large-capitalization companies, real estate investment trusts, master limited partnerships, foreign investments and emerging, debt securities, depositary receipts, market events, operational, high portfolio turnover, trading issues, active management, fund shares trading, premium/discount risk and liquidity of fund shares, which may make these investments volatile in price. Foreign investments are subject to risks, which include changes in economic and political conditions, foreign currency fluctuations, changes in foreign regulations, and changes in currency exchange rates which may negatively impact the Fund's returns. Small and Medium-capitalization companies, foreign investments and high yielding equity and debt securities may be subject to elevated risks. The Fund is a recently organized investment company with no operating history. Please see prospectus for discussion of risks.

Diversification cannot assure a profit or protect against loss in a down market.

ICAP and SCAP are distributed by Quasar Distributors, LLC.

AMZA, PFFA and PFFR are distributed by VP Distributors, LLC

Featured image from Shutterstock.

This content was originally published on Benzinga. Read further disclosures here.

This post contains sponsored content and was created in collaboration with a third-party partner. Benzinga is a publisher and does not provide personalized investment advice or act as a broker or dealer. This content is for informational purposes only and is not intended to be investing advice or an offer or solicitation to buy or sell any security.

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