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..
Investment Bankers Are Not Helping MLPs
Several MLPs released earnings last week. Results were mixed. November is seasonally a weak month (see Why MLPs Make a Great Christmas Present), and many investors are weary of the sector after its second ever worst year. So reports below expectations resulted in steep drops, while good earnings caused modest ones. Plains All America (PAA), […]
MLP Earnings Offer Scant Support for Bears and Rich Kinder Gets Outplayed
We’re in earnings season and several Master Limited Partnerships provided updates this week that were generally unsurprising and reflected the stability of their business models. On Monday, Energy Transfer Partners (ETP) announced an 8% year-on-year increase in their distribution. Their GP Energy Transfer Equity (ETE) increased its distribution 37% on a year ago. These securities […]
Bond Yields Reach Another Milestone
Recently, an important threshold was breached in terms of relative valuation between stocks and bonds. The yield on ten year U.S. treasuries drifted below the dividend yield on the S&P 500. It’s happened a couple of times in recent years but only because of a flight to quality and never for very long. This time […]
A Hedge Fund Manager Trading At A High Yield
Many years ago, in a different investing climate and a different decade, a cut in interest rates was usually regarded as a stimulative move by the Federal Reserve. Lower financing costs were regarded as helping the economy more than hurting it. They certainly help the U.S. Federal Government, as the world’s biggest borrower. The amount of […]
Hedge Fund Manager Runs Drug Company…
In time we may all owe a debt of thanks to Martin Shkreli, CEO of Turing Pharmaceuticals and a former hedge fund manager. Their 5,456% increase in Daraprim brought attention to the the importance of regular price hikes in driving revenue growth at major drug companies. The Wall Street Journal later noted that almost 80% […]