How to Create a Balanced Investment in Energy [View article]
nice summary of energy investing, certaining energy based securities are lower valued than over the past few years, so I think that we are entering a period where value investors can purchase energy security's for the long term and current income.
Having said that, couple of other points; 1-BP is an UK company, as such, the after UK tax yield is not 8%, dont they give you a 25% hair cut, before paying the dividend? 2-WTI is a rolling forward futures contracts, aren't they current facing "cantango", that is a spot price under the next months? does not this lose money, every month, or at least in more months than ones with gains?
I any case, you are onto a good sector over the coming years, buying many times over the coming few years, buying otherwise solid co's, and buying on the worst news. Thats my plan. Thanks for posting.
How to Create a Balanced Investment in Energy [View article]
Having said that, couple of other points;
1-BP is an UK company, as such, the after UK tax yield is not 8%, dont they give you a 25% hair cut, before paying the dividend?
2-WTI is a rolling forward futures contracts, aren't they current facing "cantango", that is a spot price under the next months? does not this lose money, every month, or at least in more months than ones with gains?
I any case, you are onto a good sector over the coming years, buying many times over the coming few years, buying otherwise solid co's, and buying on the worst news. Thats my plan. Thanks for posting.