EUROPE’S ENERGY CRISIS IS KEEPING ENERGY PRICES AND INFLATION HIGH

America leads the world in oil and gas production. We believe midstream energy infrastructure offers predictable cash flows to investors..

Is Shale Driving Oil Higher?

Could the Shale Revolution be driving oil prices higher? It seems counter-intuitive – the U.S. is on course to be the world’s biggest oil producer by next year. And it was the additional shale supply that led to the 2014-15 oil collapse. Yet, a growing chorus of industry voices is warning of an impending supply […]

New Pipeline Investment Roars Back

In recent years as MLP investors balked at providing the growth capital sought by midstream energy infrastructure, the biggest companies have been converting to corporations (see MLPs Searching for a New Look). The collapse in MLPs during 2014-15 slowed investment, subsequently causing many of the biggest companies to simplify as they concluded that the MLP […]

Old Style MLP Funds Get Left Behind

Although MLPs are cheap by historical standards, the persistence of their attractive valuation should prompt observers to think a little harder. The almost 5% yield spread between the Alerian MLP Index and ten year treasuries is 1.5% wider than the 20-year average of 3.5%. However, the MLP yield spread to treasuries has been historically wide […]

How to Profit From MLPs Overnight

A few months ago the NYTimes ran an interesting piece on the difference between intra-day and overnight returns on the stock market. The article compared a strategy of buying on the open and selling every day at the close (“IntraDay”), with a strategy of buying on the close and selling the next morning at the […]

Energy Infrastructure Stability Should Encourage More Buying

Volatility is not the investor’s friend. Some will immediately take issue with this – volatility caused by falling prices can mean opportunity, and volatile rising prices are surely welcome. While true, investments that gyrate cause investor stress which often leads to poorly timed sell decisions. Although a company’s long-term profitability should be more important, the […]