Week Thoughts: Paralysis by Politics

MLPs, along with the rest of the market, were held hostage by what Jon Stewart calls Armadebtdon 2011.  At this point, still no resolution on the debt ceiling and no word on what the yet to be agreed upon deal will include in terms of tax changes, including potential MLP taxation (although that's still very unlikely).  In the absence of a resolution to

8-1-81: Happy Birthday to Me and MTV

I was born on August 1, 1981, which aside from being my birthday and a very cool 8-1-81, also happened to be the first day MTV went on the air, 30 years ago tomorrow. So, me and MTV are both going to be 30. August 1, 1981 was a Saturday, but in case you were wondering, the Dow closed at 952.34 that Friday, and would finish the year at 875, for a full

MLP Equity, Debt and M&A Update

Capital markets remain wide open to MLPs.  Equity raised through June 30th totalled $9.5 billion.  Thus far in July, there have been 3 follow on equity offerings and 1 IPO for a total of $702 million.  If equity issuance continues at this pace, 2011 will be the biggest year ever for total MLP equity issuance (in total dollar terms, but probably not as a

Week Thoughts: Propane Tank’s Empty

MLPs as a whole were fairly range bound this week, with the index oscillating between 372 and 375 all week.  $KMP came out with earnings that were muted, but management indicated that the year was going better than expected in their original budget, which would allow them to raise distributions at a faster rate than originally planned.  As a result of

What are MLPs?

This is a question I have to address almost every day by virtue of where I live in Boston, as opposed to an MLP-aware place like Dallas.  This question comes up not just with prospects, but in general when someone asks me what I do for a living.  As to that question (what do you do?), I typically will say something like: “I’m an equity portfolio

Two MLP Links of Note

The Fuelfix blog on the Houston Chronicle website ( is always an interesting read on relevant topics in the energy industry.  Today, that blog has two stories of note related to MLPs.  The first is posted by Bloomberg and discusses the lobbying effort of private equity firms to extend what qualifies to go into an MLP to include renewable energy

MLP Week Thoughts: I’m Still Unemployed

I’ve been unemployed for exactly 4 years today! I guess I’ve become fixated on dates and anniversaries this week.  That probably continues until my 30th birthday in a few weeks.  Anyway, I haven’t had any W-2 income in exactly 4 years.  So, I guess I am included in that big U-6 number of 16.2% below.  I get paid in distributions from the

This Day in MLP History

July 13th is significant for the MLP space.  On this date in 2007, the MLP index closed at 342 and a yield of 5.37%.  At the time, 342 was the all-time high for the index, and the yield was the all-time low.  What started almost immediately after July 13, 2007 was the longest and deepest drawdown in the index’s history (dating back to 1996). The MLP

Executing my Own Dropdown Story

Haven't been able to post or think much about posting the last 6 days. My wife gave birth to our 3rd child at 2am on July 5th.  Having 3 kids under 5 is much more challenging thus far than having 2. Its more of a multiplier than an economy of scale thing so far. With this 3rd and final kid, phase 1 of my personal dropdown story is over.  Phase 2 is