Energy Transfer: Hunker Down And Hedge Up With Its 7% Dividend

Summary

  • Global financial markets were mixed and await anxiously for US President Joe Biden and Russia's Vladimir Putin to discuss the Ukraine situation.
  • In the meantime, we are going through some large volatilities with the market fluctuating more than 2% and the VIX index exceeding its 90th percentile.
  • Such large volatilities are unlikely to subside in the near term due to several key uncertainties: the Russian geopolitical situation, Fed rate decision, inflation data.
  • An idea like Energy Transfer is not only shielded from these risks but also helps to fight against these risks.
  • Looking for a helping hand in the market? Members of Envision Early Retirement get exclusive ideas and guidance to navigate any climate. Learn More »

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The investment thesis

It is such a challenging time for investors with record-high stock valuations, low interest rates, surging inflation, and geopolitical tension building up in the Ukraine region. As a result, we are going through some large volatilities recently, with

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This article was written by

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Envision Research, aka Lucas Ma, has over 20+ years of investment experience and holds a Masters with in Quantitative Investment and a PhD in Mechanical Engineering with a focus on renewable energy, both from Stanford University. He also has 30+ years of hands-on experience in high-tech R&D and consulting, housing sector, credit sector, and actual portfolio management.

He leads the investing group Envision Early Retirement along with Sensor Unlimited where they offer proven solutions to generate both high income and high growth with isolated risks through dynamic asset allocation. Features include: two model portfolios - one for short-term survival/withdrawal and one for aggressive long-term growth, direct access via chat to discuss ideas, monthly updates on all holdings, tax discussions, and ticker critiques by request.

Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. 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.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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