ETF Chart of the Day: Dividends by way of MLP

ETF Trends

We saw downside put activity in the largest MLP based ETF on Friday, AMLP (Alerian MLP ETF, Expense Ratio 0.85%) where January 17 puts traded in notable size.

Since its 2010 inception, AMLP has impressively grown into the largest Equity/MLP focused ETP in the U.S., currently with $7.2 billion in assets under management.

Equity investors searching for yield have seemed to flock to AMLP and other related ETPs in the MLP space over the past couple years, (AMLP yield is 5.96% currently) and it is safe to say that there has been evidence of the appeal of an “ETF” structure being offered to track the Alerian MLP Index (AMJ, JP Morgan Alerian MLP Index ETN, Expense Ratio 0.85%) has been unseated by AMLP as the largest MLP focused ETP in the marketplace) as opposed to an ETN.

Still, the second largest fund in the space, AMJ, still has an impressive $5.8 billion in assets under management, and several other ETNs have strong presences in this category.

Specifically MLPI (UBS E-TRACS Alerian MLP Infrastructure Index ETN, Expense Ratio 0.85%) and MLPN (Credit Suisee Equal Weight MLP Index ETN, Expense Ratio 0.85%) which have $1.36 billion and $617 million in assets under management respectively.

Additionally, several relative newcomers to the space that have also demonstrated the ability to attract assets like EMLP (First Trust North American Energy Infrastructure Fund, Expense Ratio 0.95%) and YMLP (Yorkville High Income MLP ETF, Expense Ratio 0.82%) for example, and several niches are now represented within the greater MLP sector like Energy, Infrastructure, Natural Gas MLPs, and Small Cap (Junior) MLPs.

Alerian MLP ETF

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AMLP

For more information on Street One ETF research and ETF trade execution/liquidity services, contact Paul Weisbruch at pweisbruch@streetonefinancial.com.

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