Wow–talk about flying. MLPs today as a group are up 3% and some of the pipeline companies are up over 20%.
While we don’t hold much in terms of energy we do have a few hundred shares of the Alerian MLP ETF (NYSE:AMLP) and it is up a nice 3%. We also have a small position in Enbridge Energy Partners (NYSE:EEP) which is up 7%.
The Federal Energy Regulation Commission (FERC), which had changed a rule in March from allowing to disallowing pipeline MLPs from adding a fee to their services for income taxes (which meant MLPs were slaughtered at that time), has now reversed the ruling. Pipeline companies can now add a reasonable fee to recapture taxes.
Sometimes an investor just gets ‘lucky’—sometimes luck is better than any skill.