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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: E_K_S who wrote (33135)	12/28/2008 5:12:38 PM
From: Jim P.	Read Replies (1) \| Respond to of 78699

EKS I own LINE. Have you looked at APL or ATN of the Atlas family? Just curious if you have an opinion on the MLP's. So many are so cheap. I have been beating my brains out trying to get a handle on APL. It has been beaten down severe account company was whipped by the oil price spike. Removed hedges at the market peak and did not replace as of 3rd Q conference call. I think they learned a lesson. Only question would be will they make it intact into the next profit cycle. If they replaced the hedges in the small window they had I would say easy. I somehow think they really dropped the ball. ATN is a very good long term MLP. Jim

To: E_K_S who wrote (33135)	12/28/2008 6:22:45 PM
From: Spekulatius	Respond to of 78699

EEQ, BBEP, LINE - I am glad yyou like my pick. EEP/EEQ have some of the highest yield for non-commodity sensitive long haul pipeline MLP's. LINE and BBEP are fundamentally different - they are upstream MLP while EEQ/EEP is a pipeline MLP. As a matter of principle, i do not invest in upstream MLP or income trust. I believe those trust do not work with falling commodity prices mainly because they do not retain enough cash flow to keep their reserves the same - so what they do is issue new shares to make up for the shortfall. This works when commodity and shares prices but in down markets it does not. if the bear market last too long those MLP literally will run dry and be gone. On the other hands when pipes are laid, they are going to throw off mostly increasing (because of FERC tariff adjustments) cash flow for decades with little reinvestment.

To: E_K_S who wrote (33135)	12/30/2008 2:45:24 PM
From: E_K_S	Respond to of 78699

Started a position in ENBRIDGE ENERGY MGMT (NYSE: EEQ) to add to my other gas distribution companies. I have about 6.5% of the portfolio allocated to this sector. finance.yahoo.com My strategy is to build up my EEQ holdings to represent a 2.5% position in the portfolio which should bring my sector weighting to around 8%. EEQ also trades options so I am looking at possibly writing some covered calls and selling some out of the money naked Puts to generate income and lock in a lower average cost basis. ========================================================= Also added a few more shares of PENN WEST ENERGY TRU (NYSE: PWE). The company is selling near its all time lows. The company recently reduced their payout to $0.28/month which still yields over 30% at the current rate. The dividend could be cut another 25% to $0.21/month if oil stays in the $35/barrel range. That would still yield a whopping 20%. Todays purchase brought my Oil & NG portfolio sector weighting to 30%. This is my largest sector weighting in the portfolio. These are the Oil and NG companies I presently hold: finance.yahoo.com Cash reserves are about 25% of the portfolio which I plan to slowly reduce and replace with high yielding preferred stocks and other dividend generators. EKS