The Aristocrats! MLP Edition

2011 appears to have been the year of the aristocrats.  Our country's aristocrats, the 1% top earning Americans, have garnered lots of negative press in the second half of the year.  And this month, I am reading in several corners of the internet about how well so-called "dividend aristocrats" are doing relative to other large cap stocks, most notably

MLP Week Thoughts: Pretty Pretty Pretty Good…

If you don't get my title this week, then you must not have watched much Curb Your Enthusiasm with Larry David.  If that is the case, I feel sorry for you.  Here is a mashup of the times he used the above catch phrase. Almost everything globally that has a floating price was higher this week, MLPs included.  The few exceptions included: Silver

MLP Performance Review: Is It Safe?

The MLP Index is on track to post a 2011 price change of around 5% and a total return of more than 10% (factoring in distributions).  It will mark another year of MLPs outperforming the S&P500, the 11th time in the last 12 years that has happened (2008 goes down as a tie, with both indexes down 37% on a total return basis).  That kind of repeated

Snowless in Boston: Impact on MLPs

In stark contrast to last winter, which resulted in 6-ft high snow banks on either side of my driveway by the end of February and cabin fever rivaling that of "The Shining", the Boston area has yet to have any snowfall in November or December this year.   If you live in some other part of the country, you may have missed this, but the weather nationwide

Week Thoughts: Flat MLPs Outshine Gold

MLPs finished flat and near the highs of the week simultaneously, again serving as a safe haven in a difficult market for equities, treasury strength and dropping yields probably helped MLPs outperform.  The theme of the second half of the year (and a previous title for one of my weekly posts) fits this week as well: flat can feel pretty great.  With the

Will the Latest MLP IPO Break Trend or Break Issue?

The final MLP IPOs of the year should price tonight.  Despite being wide open, the MLP IPO market has really limped to the finish line this year.  There have been 12 MLP IPOs to price so far in 2011, including $MCEP, which priced last night at $18.00 per unit (10% below the midpoint of its filing range).  The IPO yield on MCEP (10.6%) was the second

Natural Gas Basis Differential Nostalgia

Digging around in my office, I recently came across the roadshow presentation from Boardwalk Pipeline Partners ($BWP), which went public in the fall of 2005.  I was responsible for producing the roadshow presentation, then getting 30 copies printed and carrying them with me as I traversed the country (along with management) in SUVs, private jets and

Week Thoughts: Deck the Halls with MLP Equity

Another week, another billion dollars of MLP equity issued.  Its sort of like when a month ago, I accidentally placed the same large Christmas gift order from Amazon 6 times (I never got to a confirmation page, so I just kept clicking, never a good idea...).  Over the course of the next week following the order, the boxes (filled with the same stuff) kept

Five More Prevalent MLP Misconceptions

This is part 2 of the post I wrote last month on popular misconceptions in the MLP space.  The idea came from Ken Fisher's recent book Debunkery where he debunks all of the popular investing maxims. He had 50 in his book, I'm trying for just 10.  So here goes round 2... MLPs Have Limited Correlation with Other Asset Classes From an RIA that sells