Long only (have never shorted anything), usually with 5+ year hold expectations. Mostly equities, though some distressed debt. Attracted to perceived deep value, or very out of favor investments. I usually like to buy things hitting 52 week lows, even if they are falling knives.
As of 2018: Overweight in publicly traded partnerships due to perception they trade at a discount due to tax complexity and the fact that I loaded the boat with MLPs when they crashed in early 2016. I also own some of the alternative asset manager LPs like KKR, Blackstone, and Carlyle, as I believe it gives me access to their alternative asset classes in similar (but not identical) ways to their customers, with better terms.
I chose the handle "PipelineDancer" because the primary reason I'm on Seeking Alpha is for buying the kinds of stocks that I couldn't find in an index. That's primarily partnerships, which are primarily midstream assets. I'm just a guy who believes you have to be nimble and quick to pounce on opportunities when the market gives them to you (hence dancer), which can happen suddenly in retail investor controlled MLPs.
My preferences with MLPs: I prefer partnerships in industries that will thrive if the electrification of cars becomes the mainstream in 20 years, but I will invest in everything from coal to gas stations to refineries, if the yield on cost is such that I feel I'm compensated for the risk. It's a margin of safety issue. I strongly dislike IDRs (unless heavily compensated for) since I plan to hold for decades, and they are corrosive to long-term returns. Put together, and I think the smartest strategy is usually to own the GP if it's a K-1 and controls the IDRs.
At the risk of oversimplifying, my preference for types of MLP assets are as follows, and is primarily based on how I view these assets increasing or decreasing over multi-decade hold periods:
NGLs Pipes and Processing Plants > NG Pipes and Processing Plants > Crude Pipes > Refined Product > Storage Tanks/Terminals > Gas Stations/Distribution > Retail Propane > Coal
As of 5/17/2018, this is the list of PTPs (publicly traded partnerships) I own, sorted by the current value each position, from highest to lowest (This is NOT financial advice or a recommendation to buy/sell/hold anything, as I don't know you. Obviously, do your own thorough due diligence, as my purchase price, holding period and risk-tolerance are undoubtedly very different from yours. Just because it's on this list does not mean I would buy it again today, at current prices, or in the same quantities. I only post this list so you can have additional context to any posts that I may have made about various companies.):
(symbol, company name, my MLP category, K-1 if it issues K-1, and IDR if pays IDR to another entity)
ETP ===> Energy Transfer Partners LP ===> Natural Gas Midstream ===> K-1 IDR
GEL ===> Genesis Energy, L.P. ===> Offshore Pipelines & Chemicals ===> K-1
CLMT ===> Calumet Specialty Products Partners, L.P ===> Specialty Oil Products ===> K-1 IDR
EPD ===> Enterprise Products Partners L.P. ===> NGL Midstream/Logistics ===> K-1
EQM ===> EQT Midstream Partners LP ===> NG Gathering - Marcellus Pureplay ===> K-1 IDR
HCLP ===> Hi-Crush Partners LP ===> Frac Sand ===> K-1 IDR
EMES ===> Emerge Energy Services LP ===> Frac Sand ===> K-1
NS ===> NuStar Energy L.P. ===> Refined Pipelines & Storage ===> K-1
USAC ===> Usa Compression Partners LP ===> Compression Services ===> K-1
SMLP ===> Summit Midstream Partners LP ===> NG Gathering & Processing ===> K-1 IDR
CEQP ===> Crestwood Equity Partners LP ===> NG Gathering & Processing ===> K-1
AHGP ===> Alliance Holdings GP, L.P. ===> Thermal Coal ===> K-1
EEP ===> Enbridge Energy Partners, L.P. ===> Crude Oil Pipelines ===> K-1 IDR
SEP ===> Spectra Energy Partners, LP ===> Natural Gas Midstream ===> K-1
KKR ===> KKR & Co. L.P. ===> Asset Management - PE - LBO Focus ===> K-1
BX ===> Blackstone Group LP ===> Asset Management - PE - Real Estate Focus ===> K-1
ARLP ===> Alliance Resource Partners, L.P. ===> Thermal Coal ===> K-1
CG ===> The Carlyle Group LP ===> Asset Managment - PE - Hedge Fund Focus ===> K-1
I used to believe I would never sell partnerships due to tax hassle, but over time I've learned that it's not quite as terrible as it seems. So sometimes I will take a position in a MLP because of it hitting new 52-week lows and an hour or two of due diligence, and then will do thorough reads of all SEC filings, years of SA articles and comments, and quarterly transcripts. In those cases, sometimes I will simply change my mind and exit the investment. This is obviously most likely if I either discover that the future cash flows aren't as promising as I'd expect, or if something changes in corporate direction where I grow uncomfortable. Sometimes I am moving from the GP to the LP or back again based on relative valuations. If you see a post from me on a site about an MLP that I state I purchased, and then it is no longer on this list, that is likely why. I will sometimes publicly post when I sell a position, often because I feel I've discovered something that I think would be useful for others, but often I won't publish it because longs sometimes characterize such posts as a short trying to drive down the price, and it's not particularly helpful. Here's a partial list of MLPs I've sold at some point, in no particular order (the stories behind each one are too long for a profile): NSH , PAA, NRP, OCIP, AMID, TCP, GLP, EQGP, CCLP, WGP, BKEP, ETE, NGL, SXCP, UAN, ALDW, OAK, TGP and EEP.
There are three resources I think that any serious MLP investor should read:
The first is the best blog on MLPs by a MLP fund manager who also manages private accounts, publishing just one short missive weekly, and is my absolute favorite thing to read each week, read over a cup of coffee each Sunday morning. I have no affiliation to him, but he has highly influenced the way I analyze and pick MLPS. Sign up to get an email every time he publishes. http://www.sl-advisors.com/blog/
The second is a free daily blog on the oil industry, published by energy consultants. It's a lot of information, and you clearly don't need to know it all to invest in MLPs. But if you've got 30 minutes a day to slowly expand your knowledge of the US oil industry and what's happening with all the assets, these guys are the best. Their free blog is terrific, although I would argue it's a bit too much information for those that are not full-time investors in energy or working in the industry. But for trying to make sense of what MLP assets are likely to appreciate over time versus depreciate, it can be priceless. Once again, perhaps sign up for daily emails, then read the ones you find most useful: https://rbnenergy.com/daily-energy-post
Lastly, this article on IDRs and why they can be bad (which shows how cash flows run into problems in an IDR vs. no IDR MLP), should be required reading of any MLP investor: http://mlpguy.com/archives/7219
And by the way, that blog is also a must read (#3). Although Hines publishes all his blog posts on SA as well as that site, simultaneously, so you can read them here as well. His weekly summaries of what happened in the MLP world are outstanding (often explaining news or why certain MLPs are selling off or gaining despite specific published news).
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.
I have written 2 dutch books on value investing (search bol.com for "ruerd heeg"). As a mathematician (Ph.D.) I use quantitative strategies with statistically extremely high returns: net-nets and companies with low Enterprise Value/Earnings before Tax & Interest (EV/EBIT). When ranking on several metrics the 30-50 best stocks have 20-30% average annual returns. Since such stocks are rare I invest globally. See my article "Use Your Extraordinary Edge With These 2 Investment Strategies" (author's picks left below). Get the free trial of my Marketplace newsletter to learn more.