She is correct. You are revealing your ignorance of what a trust is.
ROYT, as a trust, is not managed. There are no employees, no management.
Yes, the assets are owned and operated by PCEC, but that is a separate company and their interests do not necessarily align with those of the trust and its unitholders.
Trusts are not managed - entirely true.
Wow, it's stunning that people would put so much money into something without doing any research as to what they are buying.ECT is not a company, it is a trust and there will never been any further drilling. So the 'dividends' (actually not dividends) will continue to trend downwards due to production continually dropping. And the share (unit) price will trend towards zero over time. The only question is whether and by how much the remaining payouts over the life of the trust exceed the purchase price of units. It is essentially a gamble. Did this person really invest $150,000 without knowing this? Would the same person by a new TV without putting more research than he did for this $150,000 investment? Would he do more research when trying a new brand of breakfast cereal for $3?
P.S. Variation in the price of NG can make the decline in 'dividends' faster or slower (although Marcellus gas prices are much lower than posted Henry Hub benchmark price). However with production trending ever lower (due to no further drilling activity) the dividend trend will be continually down. The question is how long will the tail be. Note there will be no hedging.
Why do so many people invest real money without having the slightest idea what they are investing in?
VOC is not an oil 'company'.
It is a trust.
Trusts are not allowed to add hedges after the ones in place at IPO expire.
There will never be any new hedges.
That is the same for all US royalty trusts.
They have hedges in place at trust formation. Those initial hedges expire after a couple of years and there will never be any hedges after that.
So from here on VOC is completely exposed to oil prices (good or bad).