The Smartest Energy Question of the Year

It's not about nuclear power... AI data centers... or tilting at windmills. It's about understanding value in the oil-and-gas midstream markets.

Dear Fellow Expat:

For those who have followed my research for some time, you know that I’m a major fan of the midstream sector. During an episode of my 2022-23 show about Momentum, my guest Tim Melvin and I discussed one of his favorite closed-end funds. Tortoise Pipeline & Energy Fund (TTP) became a Tactical Wealth recommendation on December 21, 2022 at $26.02 per share.

And we told readers to not sell it.

Today, it’s up 76% just in share price alone. That doesn’t include the additional 6% to 7% yield that it kicked off during the last 21 months - suitable for dividend reinvestment.

The fund is up 67.5% this year, crushing the S&P 500’s return of 23.5%.

Well… one of the big stories about TTP - as Tim noted - was that it was a closed-end fund. At one point in the last 52 weeks, the fund was trading at a 19.5% discount to its net asset value (NAV).

This meant that the market price of the fund's shares was nearly 20% lower than the value of the fund's underlying assets. Just a reminder…