Morgan Keegan Reports Q1 Surprise For MLPs

Both the Alerian MLP Index, as well as the Cushing MLP Index ended March on a high note and provided a surprise and finished Q1 with total returns exceeding the S&P 500. In the report Morgan Keegan states, “The AMZX finished March off (0.61%) to close Q1 with a 5.99% gain and had a solid week, gaining 0.85%. The Cushing MLP index was also negative in March, losing (0.25%) gained 7.42% for Q1 and 0.97% for the week. The S&P 500 had a second consecutive positive week gaining 1.45% to finish March barely positive at up 0.04% and Q1 at 5.92%. At the March lows, the S&P 500 was off (5.9%) and the AMZX had fallen (7.5%). With a solid day on April 1, the S&P 500 actually moved ahead of the AMZX with a 6.45% YTD total return vs. 6.43% for the AMZX. The Cushing leads both with a YTD total return of 7.90%. The yield on the AMZX dropped to an estimated 5.94% while the yield on the Cushing dropped to 5.61%.” Morgan Keegan still remains “especially bullish” for MLPs for the next three weeks as they enter into distribution capture season.