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Strategies & Market Trends : Dividend investing for retirement -- Ignore unavailable to you. Want to Upgrade?

To: Steve Felix who wrote (24711)	5/11/2016 8:27:58 PM
From: JimisJim	Read Replies (1) \| Respond to of 34328

I gave up on KMI... I actually believe the company will be fine and eventually return to its former prominence in share price and dividends... however, in evaluating the midstream space, I had to concede that it might take 2-3 years for KMI to emerge whole in share price and while that may well happen, it would compress the yield which is already quite low for the midstream MLP sector even considering many are yielding more because they've been whacked as a whole so hard with the ugly share price stick... anyway, I have now sold all of my KMI and deployed the proceeds into EPD, MMP and WPZ... WPZ is riskier than the others, but has as much upside potential IMO as KMI does and in the mean time pays a nicer dividend -- and now that ETP deal is clearly not going to happen, I like WPZ's potential and am NOT in the camp that a divvy cut is a foregone conclusion... However, it might be, so I've been legging in cautiously with an ave. cost basis now of 22.15 and feel pretty good about that for total return potential... normally, I'd go with WMB instead because it's not an MLP, but oddly WMB blew both their own rollup of WPZ and then, after rejecting any deal with ETP, changed their minds... what has transpired since then gives me little confidence in WMB, having already shot itself in the right foot wrt WPZ rollup and then in the left foot wrt ETP buyout... but wait, Jim, aren't the same folks running the show at both WMB and WPZ? Yes, but worst case, WPZ has the assets that others want and that alone should keep it moving along OK regardless of WMB's uncharacteristic missteps (prior to this last year, I'd have said Williams was one of the best run outfits in their space -- but I have revised that opinion quite a bit since then).