Adams Natural Resources Fund Should Benefit From The Upcoming MTUM Rebalancing

Summary

  • The $14 billion MTUM ETF is starting its semi-annual rebalancing at the end of this week.
  • There will be a big shift out of the Technology sector into the Energy sector.
  • PEO trades at a 13+% discount and could be a good way to "get in front of" the MTUM rebalancing trades.
  • This idea was discussed in more depth with members of my private investing community, Yield Hunting: Alt Inc Opps. Learn More »
Oil Prices Moving Up
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Written by George Spritzer, co-produced by Alpha Gen Capital

Before providing the supporting information on the Adams Natural Resources Fund (NYSE:PEO), I want to summarize the main reasons for this recommendation.

1) The iShares MSCI USA Momentum Factor ETF (

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This article was written by

George Spritzer, CFA profile picture
4.18K Followers
Targeting 8+% Income Stream using CEFs, ETFs, Munis, Preferreds and REITs

George Spritzer, CFA is a registered investment advisor at Southland Investments and specializes in managing closed-end funds for individuals. George uses the following investment strategies:1) Opportunistic Closed-end fund investing: Buy CEFs at larger than normal discounts to NAV and sell them when the discounts narrow. 2) Exploit special situations: tender offers, fund terminations, fund activism, rights offerings etc. Some of my premium articles are published on Alpha Gen Capital's "Yield Hunting: Alt Inc Opps" https://seekingalpha.com/author/alpha-gen-capital/research

Disclosure: I am/we are long PEO, MTUM. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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