October was all about MLP cash: who increased distributions, who kept them flat, who didn’t increase as much as expected, and through it all, investor expectations mattered more than numbers.
No one sane would argue that MLPs have been the best of all possible investments this year, but current trading sentiment has started to swing even further away from fundamentals.
Trump’s tax framework has minor positive implications for MLP investors but it could also incentivize new energy infrastructure companies to choose the C-Corp structure over the MLP tax structure.
September’s news on an individual company level harkens back to the good old days of growing MLPs and growing infrastructure.
To put a statistical pin in the negative news, MLPs were down 4.9% in August on a total return basis. Here are the biggest recent trends and events impacting the space.
Given that consolidation in the MLP space is not entirely balanced by the few IPOs and the continued government support of the structure, the questions remain: is this just the growing pains of a...