Why MLPs and Energy Infrastructure Deserve a Second Look in 2019 – ALPS/Alerian – 5.13.19
Summary:
Now On Demand.
After years of lackluster returns, midstream securities may be finding solid footing in 2019. A supportive macroeconomic environment, improved company positioning, and greater capital discipline all represent potential tailwinds for the sector. While many risk asset classes are trading at or near record levels, MLPs and Energy Infrastructure securities are trading well below their all-time highs.
Join this upcoming educational webcast to learn more about the current positioning for MLPs and Energy Infrastructure securities, as well as why 2019 may be a turnaround year for midstream.
Please join ALPS and Alerian for an educational webcast as we discuss the following:
An update on the current outlook for Energy Infrastructure
Improved company positioning and macro landscape
Current valuation analysis of the MLP and Energy Infrastructure space
Fund updates on the Alerian MLP ETF (Ticker: AMLP) and the Alerian Energy Infrastructure ETF (Ticker: ENFR)
Sponsors of this webcast may contact registrants. This webcast is for financial professionals only.
Speakers:
Stacey Morris Director of Research Alerian
Stacey Morris is the Director of Research at Alerian, which equips investors to make informed decisions about energy infrastructure and Master Limited Partnerships (MLPs). Ms. Morris engages with the investment community to increase awareness of the Alerian Index Series and support broader understanding of the role that midstream assets play in North American energy markets. Ms. Morris was previously the Investor Relations Manager for Alon USA Energy, overseeing investor communications for the corporation and its variable distribution MLP, Alon USA Partners. Prior to Alon, she covered the integrated majors and refiners at Raymond James as a Senior Associate in the firm’s Equity Research Division. Ms. Morris graduated summa cum laude with a Bachelor of Science in Business Administration from Stetson University and is a CFA charterholder.
Jeremy Held* Director of Research & Investment Strategy ALPS Portfolio Solutions
Jeremy began his career at ALPS in 1996 and has more than 20 years of experience in the ETF industry. He is responsible for research, product development, and consulting services on behalf of the ALPS ETF, Mutual Fund, and Closed-End Fund business segments. His research is focused on satellite and alternative asset classes, including Commodities, Master Limited Partnerships, Private Equity, Global Real Estate and Emerging Markets.
Jeremy has been a featured speaker at dozens of investment conferences and has been published in various publications including the Journal of indexes, Research Magazine and Institutional Investor. Jeremy is a Charted Financial Analyst and a Certified Financial Planner.
Overview:
Title: Why MLPs and Energy Infrastructure Deserve a Second Look in 2019
* Jeremy Held is a Registered Representative of ALPS Distributors, Inc. and ALPS Portfolio Solutions Distributor, Inc.
Institutional Use Only. Not for Use with the Retail Public.
An investor should consider investment objectives, risks, charges and expenses carefully before investing. To obtain a prospectus, which contains this and other information, call 1.877.398.8461or visit www.alpsfunds.com. Read the prospectus carefully before investing.
Shares are not individually redeemable. Investors buy and sell shares on a secondary market. Only market makers or “authorized participants” may trade directly with the Fund, typically in blocks of 50,000 shares.
Disclosures and Risks – AMLP & ENFRInvestments in securities of MLPs involve risks that differ from an investment in common stock. MLPs are controlled by their general partners, which generally have conflicts of interest and limited fiduciary duties to the MLP, which may permit the general partner to favor its own interests over the MLPs. The benefit you are expected to derive from the Fund’s investment in MLPs depends largely on the MLPs being treated as partnerships for federal income tax purposes. As a partnership, an MLP has no federal income tax liability at the entity level. Therefore, treatment of one or more MLPs as a corporation for federal income tax purposes could affect the Fund’s ability to meet its investment objective and would reduce the amount of cash available to pay or distribute to you. Legislative, judicial, or administrative changes and differing interpretations, possibly on a retroactive basis, could negatively impact the value of an investment in MLPs and therefore the value of your investment in the Fund.AMLP:The Fund invests primarily in energy infrastructure companies which may be adversely affected by changes in worldwide energy prices, exploration, production spending, government regulation, changes in exchange rates, depletion of natural resources and risks that arise from extreme weather conditions. All K-1s are received and processed by the Alerian MLP ETF. The Alerian MLP ETF distributes a single Form 1099 to its shareholders. This notice is provided to you for informational purposes only, and should not be considered tax advice. Please consult your tax advisor for further assistance.
There are risks involved with investing in ETFs including the loss of money. An investment in the Fund is subject to investment risk including the possible loss of the entire principal amount that you invest. If, due to tax law changes, an MLP in the portfolio is deemed a corporation rather than a partnership for federal income purposes, then income would be subject to federal taxation at the MLP level. This would reduce the amount of cash available for distribution to the fund which could result in a reduction of the fund’s value. The Fund is taxed as a regular corporation for federal income purposes, which reduces the Net Asset Value of fund shares by the accrual of any deferred tax liabilities. Depending on the taxes paid by the fund as a result of income and/or gains from investments and/or the sale of MLP interests, the return on an investment in the Fund will be reduced. This differs from most investment companies, which elect to be treated as “regulated investment companies” to avoid paying entity level income taxes. The ETF is taxed as a regular corporation and is subject to U.S. federal income tax on taxable income at the corporate tax rate (currently as high as 35%) as well as state and local taxes.ENFR: The fund invests primarily in a particular sector and could experience greater volatility than a fund investing in a broader range of industries. The Fund may be subject to risks relating to its investment in Canadian securities. Because the Fund will invest in securities denominated in foreign currencies and the income received by the Fund will generally be in foreign currency, changes in currency exchange rates may negatively impact the Fund’s return.
Investments in the energy infrastructure sector are subject to: reduced volumes of natural gas or other energy commodities available for transporting, processing or storing; changes in the regulatory environment; extreme weather and; rising interest rates which could result in a higher cost of capital and drive investors into other investment opportunities.
The Alerian Energy Infrastructure ETF is not suitable for all investors. Subject to investment risks, including possible loss of the principal amount invested MLP - Master Limited Partnership.
ALPS Portfolio Solutions Distributor, Inc., 1290 Broadway, Ste. 1100, Denver, CO 80203 is the distributor for the Alerian Energy Infrastructure ETF.
ALPS Distributors, Inc. and ALPS Portfolio Solutions Distributor, Inc. are affiliated.
ALPS Portfolio Solutions Distributor, Inc. is not affiliated with Alerian.
Not FDIC Insured • No Bank Guarantee • May Lose Value.
ALR000880 5/31/2019
