EUROPE’S ENERGY CRISIS IS KEEPING ENERGY PRICES HIGH
America leads the world in oil and gas production. We believe midstream energy infrastructure offers predictable cash flows to investors.
MLPs No Longer Represent Pipelines
As recently as five years ago, the terms “MLPs” and “pipelines” were interchangeable. If you wanted to invest in pipelines for their steady growth and attractive tax-deferred yields, you had little choice but to be a K-1 tolerant, MLP investor. MLP-dedicated funds were developed to provide retail exposure to the sector, but the corporate tax […]
The Complex Politics of Climate Change
Greta Thunberg’s speech at the United Nations may have grabbed the climate change headlines. But for those who find policy prescriptions from someone not yet out of high school a publicity stunt, the Energy Information Administration’s (EIA) 2019 International Energy Outlook was more interesting. The UN’s Intergovernmental Panel on Climate Change (IPCC) wants the world […]
Another Gripping Episode of Brexit
For constitutional observers, each weekly Brexit installment leaves viewers on the edge of their seats, pondering what further twists in the drama remain. Most recently, England’s Supreme Court ruled against Conservative Prime Minister Boris Johnson’s suspension of Parliament. Intended to stifle parliamentary debate during the run-up to Britain’s next Brexit deadline of October 31, the […]
Pipelines Correlations Are More Pleasant
Clients often want to discuss the correlation between returns on midstream energy infrastructure and crude oil prices. Prior to 2014, investors learned that pipelines were like toll roads, more concerned with the volumes passing through than its value. The 2014-16 crude oil collapse drove down the energy sector. Alerian’s index shed 58.2% over eighteen months, […]
Saturday`s Attack Is A Game Changer
Early analysis of the twin attacks on Saudi Arabia’s oil infrastructure has focused on the length and severity of supply disruption. 5.7 Million Barrels per Day (MMB/D) of lost output is the biggest supply drop in history, although its impact will depend on how long it takes to repair the damage. This misses two more […]