It is all about the diminished cash flow going forward and not so much the price of oil. The reduced hedges this year and smaller hedging next year will drastically cut back cash flow.
These partnerships were designed to provide a steady source of income that is tax deferred or sheltered. You know that. Your way, you pay capital gains taxes. It's about the tax.
Akanthos Capital Management LLC raised its position in shares of Breitburn Energy Partners LP (NASDAQ:BBEP) by 150.0% during the fourth quarter, according to its most recent disclosure with the SEC. The firm owned 4,000,000 shares of the company’s stock after buying an additional 2,400,000 shares during the period. Breitburn Energy Partners accounts for about 5.5% of Akanthos Capital Management LLC’s portfolio, making the stock its 9th largest position. Akanthos Capital Management LLC owned approximately 1.89% of Breitburn Energy Partners worth $2,680,000 as of its most recent filing with the SEC.