I couldn't really find too much on it. Greg Newton has a little, but the link to the prospectus from a news release didn't quite work, I saw nothing on the Bear Stearns website and I did not find anything on IndexUniverse either. I'm sure info is out there somewhere but I came up short.
It is safe to assume the backtest is good, but I have not seen it and do not know. But it's an index of stocks (MLPs really) that presumably trade on the exchange, so why does this need to be an instrument that relies of the health of the firm?
If we truly are in a liquidity bubble or a sub-prime bubble (maybe these would be one and the same?), the bottom will likely include a huge firm failing. This is not a comment about Bear Stearns in particular or any other firm, but big bubbles bursting. I am not saying we are in a bubble but if you think we are, it usually involves huge financial failures. If this is unfamiliar to you, I would suggest finding a book on market history.
In Greg Newton's post on BSR he pokes some good fun at the whole story and he could be correct, but all I can say is "no thanks". ETNs, to my limited way of thinking, strike me as being most useful for things that might be difficult to access in an ETF, which would not include a basket of MLPs.
Is the hook that the ETN eliminates the K-1 form? That is a guess to my not finding any meaty info. If anyone has a link please leave it in the comments. Thank you.