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Brad Denny

Brad Denny
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  • The Exchange-Traded MLP Conundrum (Podcast) [View article]
    Thanks for an informative presentation. Expanding on the question from Ivan Di, I ask, "What is your opinion of the Tortoise and Kayne- Anderson funds as a way of owning MLPs?" I know that management fees are high, but returns seem to be high as well, with leverage accounting for part of that return.

    I am long several MLPs as well as KYE and KYN.
    Jun 23 07:45 AM | Likes Like |Link to Comment
  • Boeing: Inside The Numbers [View article]

    This seems like a very good primer on how to evaluate a company's financials. Thank you.
    Jun 7 04:22 PM | Likes Like |Link to Comment
  • "This one's on you Ben," writes David Schawel, not blaming the Chairman for the JPM failure, but for creating an environment in which investors (including banks) have no alternative but to seek out risk to get returns. Another example: The explosion in AUM at mortgage REITs which use high leverage to generate returns. "These will blow up at some point."  [View news story]
    I am with bbro and AggGrow on this one. The financial industry does not take risks for any purpose other than to line the pockets of those who run it. Shareholders don't benefit and the public too often winds up paying the price.
    May 14 04:13 PM | 6 Likes Like |Link to Comment
  • Enbridge Has A Strong Dividend Payout But Shares Aren't Cheap [View article]
    My sources say that EEP's annual dividend is 6.9%, not 2.9%.

    Long: EEP & ENB
    Apr 29 11:30 AM | 1 Like Like |Link to Comment
  • Weekly Preview: 5 Things To Watch Next Week [View article]
    I always appreciate the author's well grounded viewpoint, even when I disagree. But the following has left me trying to figure out what it is I am supposed to agree or disagree with.

    "Still, the consensus is that there will be no new easing unless things get much worse for the U.S., especially because its far from clear that QE has done more harm than good."

    Could it be that should have been, more good than harm?" That would seem to be more consistent with the point being made.
    Apr 22 02:29 PM | 4 Likes Like |Link to Comment
  • Enbridge's Version Of The Keystone Pipeline Should Bring Profits [View article]
    I am long both ENB and EEP and am in general agreement with the author's comments. Investors looking at Enbridge (ENB) should be aware of the fact that ENB is the general partner of Enbridge Energy Partners (EEP) which is the company which actually owns and operates the pipelines. At least that is my amateur investor's understanding. EEP pays a much higher dividend (6.88%) but that dividend has all the peculiarities associated with returns of capital and K-1's. Investors should understand the tax treatment of income and return of capital from MLP's before investing in EEP.
    Mar 31 09:43 AM | 2 Likes Like |Link to Comment
  • Exelon - Dividend Total Return Analysis [View article]
    My readily available sources tell me that EXC's dividend is 5.3% and that the stock was up .27 cents today or .69% per cent while the market was largely down. I am long EXC.
    Mar 29 04:13 PM | 4 Likes Like |Link to Comment
  • mREITs: Golden Era Or Dark Age? [View article]
    I also worry about my children and grand kids. None of them are wealthy in a world that is increasingly divided with the wealthy on the one hand and the poor on the other.

    My brief recounting of history should have gone a little farther back, since the tendency to believe that the economy would prosper by making the rich, richer had its modern origins in the trickle-down theories of Arthur Laffer as conveyed to Ronald Reagan. Add Reagan to the list of those who tipped the scales in the direction of the wealthiest among us.

    Experience has proved the trickle-down theory false. The wealth of a nation in which 70% of economic activity is based on consumer spending can only be achieved if the consumer has funds to spend and doesn't have to go bankrupt in the process.

    That is, of course, an over-simplification of our close encounter with financial meltdown. But, in the large picture, it is correct. Our prosperity is dependent on restoring financial health to the vast majority of the people, not improving the fortunes of the already rich.
    Feb 26 02:26 PM | 9 Likes Like |Link to Comment
  • mREITs: Golden Era Or Dark Age? [View article]
    I'm no historian, so I can't responsibly talk about the "worst administration in history for fixed income retirees" but I would submit, based on very recent history, that the administrations of both Bill Clinton and George W. Bush were far worse for all long term investors than that of Barack Obama. Both the Clinton and Bush administrations allowed and encouraged the risk taking inherent in market driven economics devoid of responsible oversight.

    Both enjoyed the benefits of that approach until the pitfalls were revealed. Bush barely made it out the door before the whole edifice nearly collapsed. The Obama administration and the Federal Reserve have done what has been necessary in order to bring our economy back from that brink.

    I am an Obama supporter even though I am 70, a social security recipient and an owner of MReits and MLPs. Obama has the combination of vision, brains and courage required to get the U.S. back on a sound footing. It is in the vital national interest that the Obama administration not be further crippled by those whose only vision (as so eloquently expressed by Republican Senate Minority Leader Mitch McConnell) has been "to make Obama a one term president."

    Getting the finances of this country back on track is likely to require some sacrifice from all of us who are well enough off to be investing in MReits and MLPs. That is as it should be. The future of the nation is what Obama is and should be concerned about. He was right on the stimulus, right on rescuing the automobile industry and right on not allowing personal attacks from the McConnells and Boehners of the world (to say nothing of the Grover Norquists) to dissuade him from his duty to serve the long term interests of the nation.
    Feb 26 12:19 PM | 22 Likes Like |Link to Comment
  • The Fed Role In The Economy: It's Bigger, But Is It Better? [View article]
    It is the Republicans who are pitching "class warfare." And they have bazookas in their arsenal, not arrows. Those bazookas are lower tax rates and higher benefits for the wealthy. These include not just Wall Street, K Street and corporate boardrooms all across the country, but also the Congress which makes the rules and never fails to include itself in the system of welfare for the rich and capitalism for the rest who are basically just canon fodder in this so-called "class warfare."
    Jan 27 10:21 AM | 2 Likes Like |Link to Comment
  • Natural Gas Prices Hit Multi-Year Lows: Winners And Losers [View article]
    I am hardly a specialist or an expert, but here is a possible answer to SanDiegoNonSurfer's question. I will use Excelon for illustration purposes. Excelon is a primarily midwest utility whose price has been suffering for reasons that seem inexplicable, since the midwest seems to be recovering from the recession even faster than the nation as a whole. Why?

    1. Excelon's main source of energy is nuclear, not gas.

    2. In addition to being a regulated utility, Excelon is also a merchant seller of power on the open market.

    3. Prices for power on the open market reflect the cost of the cheapest source of energy generation available and, consequently, the low price of natural gas is driving down the prices paid for all forms of electricity sold on the open market, regardless of the energy source from which that power was generated.

    There it is. You heard it here from a raw amateur.
    Jan 18 09:22 AM | 2 Likes Like |Link to Comment
  • U.S. Total Bond ETFs A Good Balance For Volatility [View article]
    Do these rates of return represent total yield (income plus price change)? Or just price change?
    Nov 20 09:36 AM | Likes Like |Link to Comment
  • EU Debt Accord: Nothing More Than A Band-Aid Solution For U.S. Treasuries [View article]
    Commentaries that combine the qualities of being sound, documented and concise are rare. This one does it. Thanks.
    Oct 30 12:03 PM | 1 Like Like |Link to Comment
  • Coming Week's Market Movers: U.S. Credit Downgrade vs. Accelerating EU Contagion [View article]
    Sounds like I touched a nerve.
    Aug 7 01:03 PM | Likes Like |Link to Comment
  • Coming Week's Market Movers: U.S. Credit Downgrade vs. Accelerating EU Contagion [View article]
    Perhaps it is time for a thorough revision of the income tax code designed to eliminate tax evasion and aid job creation. Some will say that will never happen, given the current unbridgeable political differences and destructive political climate.

    But, there is one reason to believe that it might. All of the Bush tax cuts will be eliminated automatically at the end of 2012 unless the Congress votes to retain them and President Obama signs the bill into law, with devastating consequences, not only for credit ratings but for the fiscal health of the nation.

    So, the hammer is in place. What is necessary is the political courage to wield it and lead us out of this mess. George Washington, Abraham Lincoln and Franklin Roosevelt all had such courage. I believe Barack Obama does as well and will provide the necessary political leadership to get it done as the cornerstone of his campaign for re-election.
    Aug 7 11:47 AM | 1 Like Like |Link to Comment
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