Alerian MLP ETF (ARCA:AMLP), Quote.Headers.trade-ideas

Alerian MLP ETF

Energy

Utilities

The fund will normally invest at least 90% of its total assets in securities that comprise the underlying index. The underlying index is comprised of energy infrastructure MLPs that earn a majority of their cash flow from the transportation, storage and processing of energy commodities. It is non-diversified.

Plains All American Pipeline, L.p., Series B

Energy Transfer Lp

Western Midstream Partners Lp

Mplx Lp

Enterprise Products Partners Lp

Sunoco, Lp

Enlink Midstream Llc

Hess Midstream Partners Lp

Cheniere Energy Partners Lp

Usa Compression Partners Lp

BZ_briefs

Equities

Mid Cap

News

Guidance

Movers

AMLP

ENLC

MLPA

ONEOK to acquire GIP&#39;s stake in EnLink Midstream for $3.0 billion, also purchasing Medallion Midstream for $2.6 billion.

ONEOK Spends $3B On EnLink Midstream Stake, $2.6B On Medallion

Joe Biden, Donald Trump, stock chart

Analyst Color

Government

Regulations

Sector ETFs

Specialty ETFs

Politics

Markets

Analyst Ratings

ETFs

iShares S&P Global Clean Energy Index Fund

ICLN

PAVE

PowerShares Exchange Traded Fund Trust WilderHill Clean Energy Portfolio

First Trust NASDAQ Clean Edge Green Energy Index Fund

QCLN

Under Biden, hundreds of billions of dollars were put toward incentives for green energy, and the U.S. set a record for crude oil production.

What A Biden Or Trump Victory Might Mean For The Energy Sector

gas oil pipeline

Earnings

Large Cap

AMZA

PAA reported higher revenue of $11.995B, missing consensus. Operating income and adjusted EBITDA were flat. Company expects flat EBITDA in 2026.

Pipeline Powerhouse Plains All American Beats On Earnings with Flat EBITDA: Details

EnLink Midstream (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ENLC#NYSE">ENLC</a>) shares are trading higher premarket Thursday after ONEOK, Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/OKE#NYSE">OKE</a>) agreed to acquire Global Infrastructure Partners&#8216; (GIP) 43% stake in the company <a href="https://www.benzinga.com/pressreleases/24/08/n40616439/oneok-to-acquire-medallion-and-controlling-interest-in-enlink-from-global-infrastructure-partners-" target="_blank" rel="noreferrer noopener">for $3 billion, or $14.90 per unit</a>.
The per unit price represents a 12.8% premium over EnLink&#8217;s closing market price as of Aug. 27, 2024.
The deal also includes 100% of the managing member&#8217;s interests for $300 million. This brings the total cash consideration to approximately $3.3 billion.
Separately, ONEOK will also acquire all equity interests in Medallion Midstream, LLC, for $2.6 billion in cash.
This acquisition, representing about 6.3 times the estimated 2025 EBITDA. It includes base case synergies, and pertains to Medallion&#8217;s extensive crude gathering and transportation system in the Permian&#8217;s Midland Basin.
The total transactions are valued at $5.9 billion.
The deals add 1.7 billion cubic feet per day to ONEOK&#8217;s Permian gas processing capacity and 1.6 million barrels per day of Permian crude gathering capacity. 
ONEOK plans to leverage its expanded platforms to enhance service offerings for producers in the Permian Basin.
The transactions are not cross-conditioned and are anticipated to close early in the fourth quarter of 2024.
Synergies: The transactions are expected to support ONEOK&#8217;s $2 billion share repurchase program.
Following these deals, ONEOK expects to achieve annual synergies of $250 million <a href="https://www.benzinga.com/calendars/guidance" target="_blank" rel="noreferrer noopener">to $450 million within three years</a>.
Following the transaction with GIP, EnLink will become a consolidated subsidiary of ONEOK for GAAP financial reporting.
Investors can gain exposure to ENLC via Global X MLP ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/MLPA#NYSE">MLPA</a>) and Alerian MLP ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/AMLP#NYSE">AMLP</a>).
Price Action: ENLC shares are up 13.22% at $14.90 premarket at the last check Thursday.
Read Next:
<ul>
<li><a href="https://www.benzinga.com/news/23/08/33527138/exxon-mobil-top-stories-enlink-midstreams-sustainability-report-lithium-supply-chain-talks-and-globa" target="_blank" rel="noreferrer noopener">Exxon Mobil Top Stories: EnLink Midstream&#8217;s Sustainability Report, Lithium Supply Chain Talks and Global Lubricants Market Report</a></li>
</ul>
Disclaimer:&nbsp;This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

As <a href="https://www.benzinga.com/topic/2024-presidential-election">the 2024 U.S. Presidential election</a> approaches, the energy sector stands at a crossroads. 
Potential shifts in policy could significantly impact both traditional and <a href="https://www.benzinga.com/topic/clean-energy">clean energy markets</a>.
According to <a href="https://markets.jpmorgan.com/research/email/scx/qijkd11j/LK2zzrWZCAlD7mRxHsWnxA/GPS-4675360-0">insights</a> from JPMorgan's Strategic Research team, the outcome of the election between incumbent President Joe Biden and Ex-President Donald Trump could lead to varying scenarios. 
Each of these scenarios has distinct implications for investors and companies in the sector.
<h3 class="wp-block-heading">1. Biden Presidency, Split Congress</h3>
<ul>
<li>Clean Energy: This scenario is seen as the lowest risk for the clean energy sector. A divided Congress would likely maintain the status quo, making it difficult to roll back or repeal the <a href="https://home.treasury.gov/news/press-releases/jy2376">Inflation Reduction Act</a> (IRA) incentives. This stability is favorable for companies relying on federal clean energy incentives. Under Biden, hundreds of billions of dollars were put toward <a href="https://www.whitehouse.gov/briefing-room/statements-releases/2024/04/04/biden-harris-administration-announces-historic-20-billion-in-awards-to-expand-access-to-clean-energy-and-climate-solutions-and-lower-energy-costs-for-communities-across-the-nation/">incentives</a> for green energy.</li>
<li>Traditional Energy: The regulatory environment under Biden is expected to remain challenging, but stable. Companies have adapted to tighter regulations, which have not hindered record oil and gas output in the U.S. During Biden&#8217;s presidency, the U.S. <a href="https://www.eia.gov/todayinenergy/detail.php?id=61545">set a record</a> for crude oil production. In 2023, it outpaced what all other countries — including Saudi Arabia — have ever produced in one year. </li>
</ul>
<h3 class="wp-block-heading">2. Trump Presidency, Split Congress</h3>
<ul>
<li>Clean Energy: This scenario raises the risk profile slightly. A split Congress would make it challenging to repeal IRA incentives; Trump — who <a href="https://www.nytimes.com/interactive/2020/climate/trump-environment-rollbacks-list.html">rolled</a> back more than 100 pro-environmental policies during his administration — will likely slow their implementation by reducing funding to relevant departments. He may also impact grant and loan spending. </li>
<li>Traditional Energy: Trump — who <a href="https://apnews.com/article/trump-hannity-dictator-authoritarian-presidential-election-f27e7e9d7c13fabbe3ae7dd7f1235c72">vowed</a> to be a dictator on &#8220;day one&#8221; so he can &#8220;drill, drill, drill" — could ease regulations, potentially increase access to resources on federal lands and reduce regulations, thereby supporting more exports.</li>
</ul>
<h3 class="wp-block-heading">3. Trump Presidency, Republican Congress</h3>
<ul>
<li>Clean Energy: This is considered the highest-risk scenario for clean energy. A Republican majority could partially repeal the IRA through a reconciliation bill, particularly targeting unspent funds. However, full repeal is unlikely due to significant investments in Republican states.</li>
<li>Traditional Energy: The sector could benefit from reduced regulations and increased resource access. Policies encouraging more energy exports, such as LNG, could positively impact the long-term gas market.</li>
</ul>
JPMorgan did not explore the scenario of a Biden presidency and Democrat Congress.
Also Read: <a href="https://www.benzinga.com/news/24/05/39012457/enphase-stock-surges-amid-bidens-tariff-boost-on-chinese-solar-imports">Enphase Stock Surges Amid Biden&#8217;s Tariff Boost On Chinese Solar Imports</a>
<h3 class="wp-block-heading">Clean Energy Stocks</h3>
<ul>
<li>Valuation and Sentiment: Clean energy stocks, including those in electric vehicle (EV) charging and green hydrogen, have lagged due to weak fundamentals. Election outcomes could exacerbate this trend, especially under a Republican sweep.</li>
<li>Loan Programs: A Republican sweep might curtail the DOE Loan Programs Office's authority, negatively impacting companies seeking non-dilutive funding for capex-intensive projects.</li>
<li>Subsidies and Tariffs: Potential downsizing or repeal of subsidies for EVs and tightening of charging incentives are risks. However, protectionist measures like <a href="https://www.benzinga.com/markets/asia/24/05/38824198/biden-announces-massive-tariffs-on-chinese-imports-to-protect-us-industries-clean-energy-solar-stock">tariffs on Chinese imports</a> are likely to remain, regardless of the administration.</li>
</ul>
Investors in the iShares Global Clean Energy ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ICLN#NYSE">ICLN</a>), the First Trust NASDAQ Clean Edge Green Energy Index Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/QCLN#NYSE">QCLN</a>) and the Invesco WilderHill Clean Energy ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/PBW#NYSE">PBW</a>) must take heed of these observations.
<h3 class="wp-block-heading">Traditional Energy Stocks</h3>
<ul>
<li>Regulations: The Trump administration could ease regulations and increase resource access, but ongoing legal and political challenges could continue to <a href="https://www.benzinga.com/news/24/05/38997165/trumps-policies-for-money-transaction-with-big-oil-under-investigation-by-senate-democrats-cronyism">shape the regulatory landscape</a>.</li>
<li>Refiners: Refiners might benefit from the continuation of Trump-era corporate tax cuts. However, geopolitical tensions, such as those in the Middle East, could pose risks to crude supply and impact refiner margins.</li>
</ul>
Investors in the Energy Select Sector SPDR Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XLE#NYSE">XLE</a>), the Vanguard Energy ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VDE#NYSE">VDE</a>) and the Alerian MLP ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/AMLP#NYSE">AMLP</a>) may want to adjust their positioning based on these observations.
<h3 class="wp-block-heading">Utility and Renewables </h3>
<ul>
<li>Regulated vs. Unregulated: Unregulated renewables are more sensitive to election outcomes, while regulated utilities are less affected. A Biden re-election could be a catalyst for renewables to regain ground lost in 2023.</li>
<li>IRA Resilience: Core utility and renewable energy provisions of the IRA are expected to be resilient, though a Trump victory could create uncertainty until policy clarity emerges.</li>
</ul>
See Also: <a href="https://www.benzinga.com/markets/esg/24/05/38759168/solar-is-leaving-wind-in-the-dust-as-world-renewable-energy-hits-new-high">Solar Is Leaving Wind In The Dust As Renewables Hit New High</a>
Utility sector investors such as those invested in the Utilities Select Sector SPDR Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XLU#NYSE">XLU</a>), the Global X US Infrastructure Development ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/PAVE#NYSE">PAVE</a>) or the Vanguard Utilities ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VPU#NYSE">VPU</a>) must take note of such observation.
For those looking to get exposure to renewables, the ICLN, QCLN and PBW ETFs are popular capital market funds in the space.
<h3 class="wp-block-heading">Investment Considerations</h3>
Investors should monitor the evolving political landscape as the election approaches. The potential for policy shifts under different election scenarios underscores the importance of a diversified portfolio. 
As always, staying informed and agile in response to political developments will be key to navigating the energy sector&#8217;s challenges and opportunities in the run-up to the 2024 election.
Read Next: <a href="https://www.benzinga.com/analyst-ratings/analyst-color/24/05/39082854/exclusive-will-trumps-possible-return-to-power-make-bitcoin-ethereum-go-boom-or-bus">EXCLUSIVE &#8211; Will Trump&#8217;s Possible Return To Power Make Bitcoin, Ethereum Go Boom Or Bust? Experts Weigh In On Crypto&#8217;s Regulatory Future</a>
Image: Shutterstock

Plains All American Pipeline, L.P.&nbsp;(NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/PAA#NASDAQ">PAA</a>) shares are trading higher after it reported revenue of $11.995 billion,&nbsp;<a target="_blank" href="https://www.benzinga.com/pressreleases/24/05/g38610626/plains-all-american-reports-first-quarter-2024-results" rel="noreferrer noopener">missing the consensus of $12.977 billion</a>.
The company reported an operating income of $370 million, compared to $473 million a year ago. The adjusted EBITDA attributable to PAA remained broadly flat Y/Y at $718 million.
The Crude Oil Segment Adjusted EBITDA rose 7% Y/Y to $553 million, led by higher&nbsp;tariff volumes on the pipelines, tariff escalations&nbsp;and&nbsp;contributions from acquisitions.
NGL Segment Adjusted EBITDA decreased 17% Y/Y to $159 million, due to lower realized frac spreads. PAA generated an adjusted free cash flow of $262 million in the quarter.
Adjusted earnings per common unit was $0.41 (flat Y/Y), <a href="https://www.benzinga.com/calendars/earnings" target="_blank" rel="noreferrer noopener">beating the consensus of $0.39.</a>
Also&nbsp;Read:&nbsp;<a target="_blank" href="https://www.benzinga.com/news/earnings/24/05/38606177/plains-all-american-pipeline-gears-up-for-q1-print-these-most-accurate-analysts-revise-forecasts-ah" rel="noreferrer noopener">Plains All American Pipeline Gears Up For Q1 Print; These Most Accurate Analysts Revise Forecasts Ahead Of Earnings Call</a>
The company increased annualized&nbsp;common&nbsp;distribution by $0.20 to $1.27 per unit (an increase of 19% Y/Y, paid in February).
Outlook: The company expects underlying growth in the business and contributions from efficient growth investments to offset lower contracted rates, resulting in broadly flat adjusted EBITDA in 2026 vs. 2024 guidance for&nbsp;<a target="_blank" href="https://www.benzinga.com/calendars/guidance" rel="noreferrer noopener">the Crude Oil segment</a>.
&#8220;Separately, we successfully extended the duration of our Permian long-haul portfolio, including Cactus I.&nbsp;This&nbsp;represents a major milestone and provides greater clarity on the outlook for our long-haul assets. Better visibility around re-contracting combined with our disciplined operational and financial performance should provide investors with greater confidence in the outlook for the business and our ability to continue generating significant free cash flow for years to come,&#8221; commented Willie Chiang, Chairman and CEO.
Investors can gain exposure to the stock via&nbsp;InfraCap MLP ETF&nbsp;(NYSE:<a class="ticker" href="https://www.benzinga.com/stock/AMZA#NYSE">AMZA</a>) and&nbsp;Alerian MLP ETF&nbsp;(NYSE:<a class="ticker" href="https://www.benzinga.com/stock/AMLP#NYSE">AMLP</a>).
Price Action: PAA shares are up 1.68% at $17.52 at the last check Friday.
Photo via Shutterstock

We performed a screening of mid-cap ETFs, defined as having Assets Under Management (AUM) between $2 billion and $10 billion &#8211; to determine what funds had the largest positive and negative returns on the week, according to data from <a href="http://etfdb.com">etfdb.com</a>. Only non-leveraged funds were considered.
<h2 class="wp-block-heading">Winners</h2>
iShares Global Clean Energy ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ICLN#NYSE">ICLN</a>)
ICLN is up 8.59% over the trailing week.
The iShares Global Clean Energy ETF offers exposure to companies involved in developing and deploying sustainable energy solutions and technologies.
The fund has $2.94 billion in AUM and an expense ratio of 0.41%. ICLN has holdings in 102 companies, with the 10 largest comprising 44.34% of the fund.
The fund's largest holdings are First Solar, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/FLSR#NASDAQ">FLSR</a>) and Enphase Energy, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ENPH#NASDAQ">ENPH</a>) making up 8.00% and 7.16% of the fund, respectively.
ICLN is down 22.41% YTD.
SPDR S&amp;P Regional Banking ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/KRE#NYSE">KRE</a>)
KRE is up 8.10% over the trailing week.
The SPDR S&amp;P Regional Banking ETF is linked to an equal-weighted index of regional bank stocks, an industry that has seen much turmoil this year after the collapse of several high-profile banks. KRE is more diversified and evenly distributed than its competitors.
The fund has $3.92 billion in AUM and an expense ratio of 0.35%. KRE has holdings in 140 companies, with the 10 largest comprising 31.32% of the fund.
The fund's largest holdings are Western Alliance Bancorp (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/WAL#NYSE">WAL</a>) and Zions Bancorporation, N.A. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ZION#NASDAQ">ZION</a>) making up 3.60% and 3.42% of the fund, respectively.
KRE is down 7.44% YTD.
<h2 class="wp-block-heading">Losers</h2>
WisdomTree Japan Hedged Equity Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/DXJ#NYSE">DXJ</a>)
DXJ is down 2.24% on the week.
The WisdomTree Japan Hedged Equity Fund offers exposure to the Japanese market. It also hedges out currency fluctuations, eliminating the threat of changes in the Yen.
The fund has $3.01 billion in AUM and an expense ratio of .48%. The fund is spread across 449 companies with the top 10 holdings accounting for 30.19% of the fund's value.
DXJ's largest holdings are Toyota Motor Corp. (TYO:<a class="ticker" href="https://www.benzinga.com/stock/TYO:7203#TYO">7203</a>) and Mitsubishi UFJ Financial Group, Inc. (TYO:<a class="ticker" href="https://www.benzinga.com/stock/TYO:8306#TYO">8306</a>) making up 4.84% and 4.62% of the fund, respectively.
DXJ is up 33.16% YTD.
Alerian MLP ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/AMLP#NYSE">AMLP</a>)
AMLP is down 0.69% over the trailing week.
The Alerian MLP ETF, like AMJ, offers exposure to the energy MLP sector. In addition to avoiding corporate taxes, MLPs also require quarterly distributions, providing cash flow. The fund has $7.30 billion in AUM and an expense ratio of 0.87%. AMLP has holdings in 17 companies, with the 10 largest comprising 93.04% of the fund.
The fund's largest holdings are Energy Transfer LP (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ET#NYSE">ET</a>) and MPLX LP (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/MPLX#NYSE">MPLX</a>) making up 13.05% and 12.74% of the fund, respectively.
AMLP is up 19.91% YTD.

WisdomTree Trust Japan Total Dividend Fund

ENPH

FLSR

MPLX

TYO:7203

TYO:8306

ZION

ETF Winners And Losers: Mid-Cap Returns - Sustainability Fund Up Big, Fund Linked To Japan's Economy Drops

David Tepper, the owner of the Carolina Panthers and founder of&nbsp;Appaloosa Management,&nbsp;has become a self-made billionaire through the hedge fund he manages and the gains from his stock portfolio.
A&nbsp;recent <a href="https://www.sec.gov/Archives/edgar/data/1656456/000165645622000003/xslForm13F_X01/Form13FInfoTable.xml">13F-HR SEC filing</a> has revealed to the public the various companies Tepper currently has&nbsp;holdings&nbsp;in. This article will take a look at the five companies that provide the billionaire investor the highest dividend yield.&nbsp;
1. MPLX LP (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/mplx#NYSE">MPLX</a>) 
Price: $32.78 
52-Week Range: $26.80 to $35.49 
YTD Performance: 9.54% 
Dividend Yield:&nbsp;8.60%
2. Energy Transfer LP Unit (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/et#NYSE">ET</a>) 
Price: $11.66 
52-Week Range: $7.96 to $12.48 
YTD Performance: 33.98% 
Dividend Yield: 7.80%
3. ALPS Alerian MLP ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/amlp#NYSE">AMLP</a>) 
Price: $39.10 
52-Week Range: $30.04 to $42.18 
YTD Performance: 16.15% 
Dividend Yield: 6.96%
4. Enterprise Products Partners L.P. (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/epd#NYSE">EPD</a>) 
Price: $27.12 
52-Week Range: $20.42 to $28.65 
YTD Performance: 19.79% 
Dividend Yield: 6.96%
5. Kohl&rsquo;s Corporation (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/kss#NYSE">KSS</a>) 
Price: $33.93 
52-Week Range: $26.07 to $64.38 
YTD Performance: &ndash;31.57% 
Dividend Yield:&nbsp;5.70%
Even though the majority of the stocks previously listed have had a strong year so far, having a high dividend yield still brings peace of mind to investors. While this article covered some of Tepper&rsquo;s portfolio, it consists of 28 stocks and 16 of them have a dividend. To see the full list of Tepper&rsquo;s holdings, click this <a href="https://www.sec.gov/Archives/edgar/data/1656456/000165645622000003/xslForm13F_X01/Form13FInfoTable.xml">link</a>.
Dividend payouts can provide income for traders and also make many of the large cap stocks fall into the value category instead of growth, which can mean predictable earnings and dividend increases.
Photo: Courtesy of&nbsp;<a href="https://www.flickr.com/photos/teppercmu/" id="yui_3_16_0_1_1660758617471_16030" title="Go to TepperCMU's photostream">TepperCMU</a>&nbsp;on flickr 
&nbsp;

&nbsp;

Dividends

Hedge Funds

Trading Ideas

General

Invest Like Carolina Panthers Owner David Tepper With These 5 Big Dividend Stocks His Hedge Fund Owns

It&#39;s well-known <a href="https://www.benzinga.com/analyst-ratings/analyst-color/22/03/26201733/how-to-play-bank-stocks-now-that-interest-rates-are-rising">interest rates are rising</a>, but they&#39;re still below their long-term historical averages. Investors&nbsp;seeking to invest for income can consider the Alerian MLP ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/amlp#NYSE">AMLP</a>).
At the current price, the dividend yield is about 7.5%.
This fund invests in energy infrastructure Master Limited Partnership (MLPs). MLPs build, own, and operate energy infrastructure assets. These include things like pipelines, storage facilities&nbsp;and processing plants.
These types of organizations tend to pay out their profits as dividends instead of reinvesting them back into the company. This makes MLPs an attractive option for investors seeking income.
To learn more about ETFs and trading, check out the new <a href="https://www.benzinga.com/premium/ideas/benzinga-trading-school/?utm_source=topnav&amp;utm_medium=topnav">Benzinga Trading School</a>.
<img alt="amlp_0.png" src="https://www.benzinga.com/files/u344550/amlp_0.png" style="height:400px; width:640px" />

This Energy ETF Has A 7.5% Dividend Yield

Alerian MLP ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/AMLP#NYSE">AMLP</a>) shares experienced unusual options activity on Monday. The stock price moved down to $32.37 following the option alert. 
<ul>
<li>Sentiment: BEARISH</li>
<li>Option Type: TRADE</li>
<li>Trade Type: PUT</li>
<li>Expiration Date: 2021-10-15</li>
<li>Strike Price: $31.00</li>
<li>Volume: 3000</li>
<li>Open Interest: 10042</li>
</ul>
<h2>Three Indications Of Unusual Options Activity</h2>
One way options market activity can be considered unusual is when volume is exceptionally higher than its historical average. The volume of options activity refers to the number of contracts traded over a given time period. The number of contracts that have been traded, but not yet closed by either counterparty, is called open interest. A contract cannot be considered closed until there exists both a buyer and seller for it. 
The trading of a contract with an expiration date in the distant future is another sign of unusual activity. Generally, additional time until a contract expires increases the potential for it to reach its strike price and grow its time value. Time value is important in this context because it represents the difference between the strike price and the value of the underlying asset. 
"Out of the money" contracts are unusual because they are purchased with a strike price far from the underlying asset price. "Out of the money" occurs when the underlying price is under the strike price on a call option, or above the strike price on a put option. Buyers and sellers try to take advantage of a large profit margin in these instances because they are expecting the value of the underlying asset to change dramatically in the future. 
<h2>Bullish And Bearish Sentiments</h2>
Options are "bullish" when a call is purchased at/near ask price or a put is sold at/near bid price. Options are "bearish" when a call is sold at/near bid price or a put is bought at/near ask price. 
These observations are made without knowing the investor's true intent by purchasing these options contracts. The activity is suggestive of these strategies, but an observer cannot be sure if a bettor is playing the contract outright or if the options bettor is hedging a large underlying position in common stock. For the latter case, bullish options activity may be less meaningful than the exposure a large investor has on their short position in common stock.
<h2>Trading Options With These Strategies</h2>
Unusual options activity is an advantageous strategy that may greatly reward an investor if they are highly skilled, but for the less experienced trader, it should remain as another tool to make an educated investment decision while taking other observations into account.
For more information to understand options alerts, visit <a href="https://pro.benzinga.help/en/articles/1769505-how-do-i-understand-options-alerts" title="https://pro.benzinga.help/en/articles/1769505-how-do-i-understand-options-alerts">https://pro.benzinga.help/en/articles/1769505-how-do-i-understand-options-alerts</a>

Unusual Options Activity Insight: Alerian MLP ETF

On Friday, shares of Alerian MLP ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/AMLP#NYSE">AMLP</a>) saw unusual options activity. After the option alert, the stock price moved up to $32.78. 
<ul>
<li>Sentiment: BEARISH</li>
<li>Option Type: TRADE</li>
<li>Trade Type: CALL</li>
<li>Expiration Date: 2021-09-24</li>
<li>Strike Price: $31.50</li>
<li>Volume: 400</li>
<li>Open Interest: 0</li>
</ul>
<h2>Three Indications Of Unusual Options Activity</h2>
Extraordinarily large volume (compared to historical averages) is one indication of unusual options market activity. Volume refers to the total number of contracts traded over a given time period when discussing options market activity. The number of contracts that have been traded, but not yet closed by either counterparty, is called open interest. A contract cannot be considered closed until there exists both a buyer and seller for it. 
The trading of a contract with an expiration date in the distant future is another sign of unusual activity. Generally, additional time until a contract expires increases the potential for it to reach its strike price and grow its time value. Time value is important in this context because it represents the difference between the strike price and the value of the underlying asset. 
Contracts with a strike price far from the underlying price are also considered unusual because they are defined as being "out of the money". This occurs when the underlying price is under the strike price on a call option, or above the strike price on a put option. These trades are made because the underlying asset value is expected to change dramatically in the future, and the buyer or seller can take advantage of a greater profit margin. 
<h2>Bullish And Bearish Sentiments</h2>
Options are "bullish" when a call is purchased at/near ask price or a put is sold at/near bid price. Options are "bearish" when a call is sold at/near bid price or a put is bought at/near ask price. 
These observations are made without knowing the investor's true intent by purchasing these options contracts. The activity is suggestive of these strategies, but an observer cannot be sure if a bettor is playing the contract outright or if the options bettor is hedging a large underlying position in common stock. For the latter case, bullish options activity may be less meaningful than the exposure a large investor has on their short position in common stock.
<h2>Using These Strategies To Trade Options</h2>
Unusual options activity is an advantageous strategy that may greatly reward an investor if they are highly skilled, but for the less experienced trader, it should remain as another tool to make an educated investment decision while taking other observations into account.
For more information to understand options alerts, visit <a href="https://pro.benzinga.help/en/articles/1769505-how-do-i-understand-options-alerts" title="https://pro.benzinga.help/en/articles/1769505-how-do-i-understand-options-alerts">https://pro.benzinga.help/en/articles/1769505-how-do-i-understand-options-alerts</a>

Understanding Alerian MLP ETF's Unusual Options Activity

Alerian MLP ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/AMLP#NYSE">AMLP</a>) shares experienced unusual options activity on Thursday. The stock price moved up to $34.52 following the option alert. 
<ul>
<li>Sentiment: BULLISH</li>
<li>Option Type: TRADE</li>
<li>Trade Type: CALL</li>
<li>Expiration Date: 2022-01-21</li>
<li>Strike Price: $35.00</li>
<li>Volume: 300</li>
<li>Open Interest: 9318</li>
</ul>
<h2>Three Indications Of Unusual Options Activity</h2>
Exceptionally large volume (compared to historical averages) is one reason for which options market activity can be considered unusual. The volume of options activity refers to the number of contracts traded over a given time period. Open interest is the number of unsettled contracts that have been traded but not yet closed by either counterparty. In other words, open interest represents the quantity of contracts that individual parties have written but not yet found a counterparty for (i.e. a buyer finding a seller, or a seller finding a buyer).
Another sign of unusual activity is the trading of a contract with an expiration date in the distant future. Usually, additional time until a contract expires allows more opportunity for it to reach its strike price and grow its time value. Time value is important to consider because it represents the difference between the strike price and the value of the underlying asset. 
Contracts that are "out of the money" are also indicative of unusual options activity. "Out of the money" contracts occur when the underlying price is under the strike price on a call option, or above the strike price on a put option. These trades are made with the expectation that the value of the underlying asset is going to change dramatically in the future, and buyers and sellers will benefit from a greater profit margin. 
<h2>Understanding Sentiment</h2>
Options are "bullish" when a call is purchased at/near ask price or a put is sold at/near bid price. Options are "bearish" when a call is sold at/near bid price or a put is bought at/near ask price. 
Although the activity is suggestive of these strategies, these observations are made without knowing the investor's true intentions when purchasing these options contracts. An observer cannot be sure if the bettor is playing the contract outright or if they're hedging a large underlying position in a common stock. For the latter case, the exposure a large investor has on their short position in common stock may be more meaningful than bullish options activity. 
<h2>Trading Options With These Strategies</h2>
Unusual options activity is an advantageous strategy that may greatly reward an investor if they are highly skilled, but for the less experienced trader, it should remain as another tool to make an educated investment decision while taking other observations into account.
For more information to understand options alerts, visit <a href="https://pro.benzinga.help/en/articles/1769505-how-do-i-understand-options-alerts" title="https://pro.benzinga.help/en/articles/1769505-how-do-i-understand-options-alerts">https://pro.benzinga.help/en/articles/1769505-how-do-i-understand-options-alerts</a>

Options

On Thursday, shares of Alerian MLP ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/AMLP#NYSE">AMLP</a>) saw unusual options activity. After the option alert, the stock price moved up to $35.69. 
<ul>
<li>Sentiment: BULLISH</li>
<li>Option Type: SWEEP</li>
<li>Trade Type: PUT</li>
<li>Expiration Date: 2021-07-09</li>
<li>Strike Price: $35.50</li>
<li>Volume: 3000</li>
<li>Open Interest: 7003</li>
</ul>
<h2>Three Signs Of Unusual Options Activity</h2>
Exceptionally large volume (compared to historical averages) is one reason for which options market activity can be considered unusual. The volume of options activity refers to the number of contracts traded over a given time period. The number of contracts that have been traded, but not yet closed by either counterparty, is called open interest. A contract cannot be considered closed until there exists both a buyer and seller for it. 
The trading of a contract with an expiration date in the distant future is another sign of unusual activity. Generally, additional time until a contract expires increases the potential for it to reach its strike price and grow its time value. Time value is important in this context because it represents the difference between the strike price and the value of the underlying asset. 
Contracts with a strike price far from the underlying price are also considered unusual because they are defined as being "out of the money". This occurs when the underlying price is under the strike price on a call option, or above the strike price on a put option. These trades are made because the underlying asset value is expected to change dramatically in the future, and the buyer or seller can take advantage of a greater profit margin. 
<h2>Understanding Sentiment</h2>
Options are "bullish" when a call is purchased at/near ask price or a put is sold at/near bid price. Options are "bearish" when a call is sold at/near bid price or a put is bought at/near ask price. 
Although the activity is suggestive of these strategies, these observations are made without knowing the investor's true intentions when purchasing these options contracts. An observer cannot be sure if the bettor is playing the contract outright or if they're hedging a large underlying position in a common stock. For the latter case, the exposure a large investor has on their short position in common stock may be more meaningful than bullish options activity. 
<h2>Using These Strategies To Trade Options</h2>
Unusual options activity is an advantageous strategy that may greatly reward an investor if they are highly skilled, but for the less experienced trader, it should remain as another tool to make an educated investment decision while taking other observations into account.
For more information to understand options alerts, visit <a href="https://pro.benzinga.help/en/articles/1769505-how-do-i-understand-options-alerts" title="https://pro.benzinga.help/en/articles/1769505-how-do-i-understand-options-alerts">https://pro.benzinga.help/en/articles/1769505-how-do-i-understand-options-alerts</a>

Coming into last week, the price of a barrel of crude oil had increased by over 80% in the prior six months. This had investors nervous.
Then came the news that the Colonial Pipeline was successfully shut down by a cyberattack. Now there are reports of panic buying in the southeastern part of the country. This attack, added to signs of inflation that are appearing in different parts of the economy, means there&rsquo;s a good chance the price of oil keeps moving higher.
Why it&#39;s Important: There&rsquo;s a way that investors can profit from rising oil prices. They can buy ETFs that invest in companies in the oil industry.
These ETFs include the Energy Select Sector SPDR Fund (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/xle#NYSE">XLE</a>), the SPDR S&amp;P Oil &amp; Gas Exploration &amp; Production ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/xop#NYSE">XOP</a>), and the Alerian MLP ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/amlp#NYSE">AMLP</a>).
See Also: <a href="https://www.benzinga.com/news/21/05/21082713/diesel-outages-starting-to-rise-in-southeast-on-back-of-colonial-closure">Diesel Outages Starting To Rise In Southeast On Back Of Colonial Closure</a>
XLE tracks the price and yield of the companies in the S&amp;P 500 Energy Sector. These include companies in the oil, gas, and consumable fuels industries. There are also companies in the energy equipment and services industries.
<img alt="xle.png" src="https://www.benzinga.com/files/u344550/xle.png" style="height:400px; width:640px" />
XOP seeks to track the performance of the S&amp;P Oil &amp; Gas Exploration &amp; Production Select Industry Index. It invests in companies that are in the oil and gas exploration and production industries.
<img alt="xop.png" src="https://www.benzinga.com/files/u344550/xop.png" style="height:400px; width:640px" />
AMLP tracks the Alerian MLP Infrastructure Index. It invests in companies that get a majority of their revenues from the transportation, storage, and processing of energy commodities.
<img alt="amlp.png" src="https://www.benzinga.com/files/u344550/amlp.png" style="height:400px; width:640px" />

Long Ideas

Short Ideas

Technicals

Commodities

3 ETFs To Play A Potential Energy Crisis

With interest rates low, some income investors may want to revisit high-yield master limited partnerships and the related exchange traded funds, such as the Alerian MLP ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/amlp#NYSE">AMLP</a>).
AMLP certainly makes good on the income front with a dividend yield of 9.24%. However, there is more to the fund&#39;s story. Another reason to consider AMLP is that components in the e <a href="https://www.alerian.com/indices/amzi-index/">Alerian MLP Infrastructure Index</a> (AMZI), the fund&#39;s underlying index, are eliminating incentive distribution rights (IDRs).
In bygone eras of MLP practices, IDRs were used to incentivize the general partner (GP) to boost the limited partner&#39;s distributions &ldquo;by entitling GPs to receive a higher percentage (generally up to 50%) of incremental cash distributions when the distribution to LP unitholders reaches certain thresholds,&rdquo; <a href="https://alerian.wpengine.com/monday-mailbag-how-do-incentive-distribution-rights-work/">according to Alerian</a>.
<h3>Why It&#39;s Important </h3>
Eventually, IDRs ended up becoming a financial burden for MLPs as the rights led to increased cost of capital. In other words, it&#39;s good for investors that AMLP member firms are doing away with IDRs.
&ldquo;Multiple simplification transactions have been announced this quarter. IDR buyouts have been frequent in 2019, with the GPs of <a href="https://www.eqm-midstreampartners.com/">EQM Midstream</a>, <a href="https://www.phillips66partners.com/">Phillips 66 Partners</a>, and <a href="http://www.summitmidstream.com/">Summit Midstream Partners</a>, among others, eliminating their MLPs&rsquo; IDRs earlier this year,&rdquo; <a href="https://www.alerian.com/keeping-it-simple-mlps-continue-to-eliminate-idrs/">Alerian said in a recent note</a>.
EQM and PSXP combine for 8.47% of AMLP&#39;s roster. Noble Midstream Partners LP (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/nblx#NYSE">NBLX</a>), a smaller AMLP constituent, eliminated its IDR earlier this quarter. DCP Midstream (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/dcp#NYSE">DCP</a>), 3.30% of AMLP&#39;s weight, did the same thing.
<h3>What&#39;s Next</h3>
It&#39;s likely other AMLP components will get in on the IDR elimination game. After all, it makes financial sense for the companies and their investors.
&ldquo;Alongside the benefits of a lower cost of capital for the MLP and improved corporate governance, the IDR transactions themselves have also been mostly attractive to unitholders,&rdquo; notes Alerian.
&ldquo;In the case of NBLX, the acquisition of NBL&rsquo;s midstream assets and IDRs is expected to be ~5% accretive to distributable cash flow (DCF) per unit in 2020, reduces pro-forma leverage, and removes the need for equity financing. Combining the expected IDR payments and 2020 EBITDA from the acquired assets implies a combined transaction multiple of 8x. Along with DCP&rsquo;s IDR elimination, which represented a multiple of 9x to current IDR payments per management, these recent transactions have been attractive relative to multiples upwards of 15x seen in the past.&rdquo;
Related Links:
<a href="https://www.benzinga.com/trading-ideas/long-ideas/19/12/14917105/getting-the-emerging-markets-compensation-you-deserve">The Right Way To Play EM Junk Bonds</a>
<a href="https://www.benzinga.com/trading-ideas/long-ideas/19/12/14917295/an-etf-for-cyber-monday-and-beyond">A Star Among Retail ETFs</a>

NBLX

PSXP

IDR Elimination Could Be A Positive For MLP ETFs

&nbsp;
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<h2>Executive orders aim to foster oil and gas permitting, but Trump&#39;s own trade policies also put kibosh on rapidly growing export markets.</h2>
President Donald Trump&#39;s executive orders to speed up approvals of new oil and gas pipelines is no doubt welcome in an industry long plagued by regulatory delays. But he should look at his own trade policies instead if he really wants to help U.S. energy businesses.
The <a href="https://www.whitehouse.gov/briefings-statements/president-donald-j-trump-paving-way-energy-infrastructure-development/">executive orders</a> signed this week require that two federal agencies review their rules and guidelines for approving new energy development and that sole authority for permitting any new pipelines will be with the President. Both moves aim to override state and local opposition to new oil and gas pipelines.
&quot;When it comes to the future of America&#39;s energy needs, we will find it, we will dream it, and we will build it,&quot; President Trump said of the executive orders.
<blockquote class="twitter-tweet">&quot;You are the men and women who get up every day and make this country run and, frankly, make this country great.&quot; <a href="https://t.co/cDGx7tLvAL">pic.twitter.com/cDGx7tLvAL</a>
&mdash; The White House (@WhiteHouse) <a href="https://twitter.com/WhiteHouse/status/1116108897075585029?ref_src=twsrc%5Etfw">April 10, 2019</a></blockquote>
But many companies have already found it, dreamt it, and are already building it, leaving market reaction to the news nonplussed.
The Alerian MLP Exchange Traded Fund (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/amlp#NYSE">AMLP</a>), which comprises a broad basket of U.S. oil and gas pipelines, was down slightly on the announcement. Commodity markets were also mixed on the news with the price of <a href="https://www.barchart.com/futures/quotes/CLK19/overview">benchmark U.S. oil </a>for May delivery down slightly flat and U.S. <a href="https://www.barchart.com/futures/quotes/INGM19/overview">natural gas prices for June delivery</a> showing small gains.
Local opposition to energy projects that Trump aims to surmount has done little to stop the U.S. from becoming an energy giant. Overall, <a href="https://www.api.org/news-policy-and-issues/news/2019/03/14/oil-production-petroleum-demand-records-february-2019-q1-industry-outlook">U.S. oil and gas production set a new record in February reaching over 12 million barrels per day</a>, according to the <a href="https://www.api.org">American Petroleum Institute</a>.
Moreover, much of that production comes from Texas, where <a href="https://www.cnbc.com/2019/04/10/trump-aims-to-prevent-states-from-blocking-pipelines-infrastructure.html">President Trump signed the bill</a> and which has little aversion to new oil and gas pipelines.
The order could jumpstart some projects. TransCanada&nbsp;may finally get the go-ahead for its Keystone XL Pipeline, which has been waiting for approval from Nebraska&#39;s public utility commission. The U.S. Northeast is also <a href="https://www.dailysignal.com/2019/03/22/consequences-of-cuomos-climate-agenda-hit-close-to-home-his-home/">facing strains due to limits on new pipeline capacity to bring natural gas</a>.
But with America&#39;s oil and gas use flatlining due to increasing energy efficiency, the growth market is overseas, where the U.S. energy industry has made big strides since <a href="https://www.bloomberg.com/news/articles/2015-12-18/house-votes-to-repeal-u-s-oil-export-limits-senate-vote-next">former President Barack Obama signed an executive order in 2015 ending the 40-year old ban on seaborne crude oil exports from the U.S.</a>
Since the signing of that order, U.S. crude oil exports have grown from 560,000 barrels per day, nearly all of which went to Canada, to 2 million barrels per day, with China, South Korea, Taiwan and the United Kingdom among the biggest consumers.
<iframe id="eia_widget" src="//www.eia.gov/opendata/embed/iframe.php?series_id=PET.MCREXUS1.M&amp;wmode=opaque"></iframe>
The only hiccup in that growth was <a href="https://www.freightwaves.com/news/maritime/port-report-us-china-trade-tariff">Trump&#39;s trade fight with China</a>. Once one of the fastest growing customers for U.S. oil, China went to almost zero imports during the second half of 2018 as trade fight picked up steam.
Exports have since picked up again as the <a href="https://www.freightwaves.com/news/todays-pickup-us-china-trade-truce">two sides declared a truce</a>, but &quot;the trade war appears to be limiting the United States&#39; access to crude export markets,&quot; said API Chief Economist Dean Foreman said at the time.
&quot;As we produce more energy here at home, the U.S. needs markets for its products in order for our economy to continue to grow.&quot;
In addition, Trump&#39;s decision to put tariffs on <a href="https://www.pipeline-journal.net/news/president-trumps-tariffs-imported-steel-complicating-us-pipeline-construction">imported steel has also raised costs for U.S. pipeline companies</a>.
Yet, even before Trump&#39;s move, oil and gas companies were readying for more hydrocarbons to reach U.S. Gulf Coast export markets. The <a href="https://epicpipelinelp.com/projects/crude-pipeline/">EPIC Pipeline</a>, Plains All American&#39;s (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/paa#NYSE">PAA</a>) Cactus II Pipeline, and Phillips 66&#39;s (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/psx#NYSE">PSX</a>) Gray Oak Pipeline are expected to bring an additional 2 million barrels per day from inland Texas to the Gulf Coast by the latter part of this year.
<h3>Marine insurer warns of Venezuela business</h3>
Rules from Treasury Department heighten risk around oil and other shipping. (<a href="https://maritime-executive.com/article/steamship-mutual-warns-of-pdvsa-sanctions-risks-for-shipowners">Maritime Executive</a>)
<h3>China&#39;s navy tests sea-based laser</h3>
Chinese navy tests weapon said to be similar to a U.S. Navy prototype. (<a href="https://maritime-executive.com/article/china-tests-laser-weapon-similar-to-u-s-navy-prototype">Maritime Executive</a>)
<h3>Singapore still the King in maritime business</h3>
<h3>The Lion City rules the shipping jungle for fourth year in a row. (<a href="https://maritime-executive.com/article/china-tests-laser-weapon-similar-to-u-s-navy-prototype">BunkerWorld</a>) </h3>
<h3>MSC boxship said to be caught in Chinese debt trap</h3>
Shipyard&#39;s failure to pay debt said to have delayed launch of new boxship. (<a href="https://www.tradewindsnews.com/liner/1752139/newly-built-msc-boxship-caught-in-cross-fire-of-hna-sell-off-row">TradeWinds</a>)
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Global

Port Report: Trump Signs Executive Order Seeking To Boost U.S. Energy Development

July was&nbsp;kind to the U.S. stock market even amid escalating trade tensions and rounds of tech sell-off. The Dow Jones Industrial Average recorded the largest monthly gain of 4.7 percent&nbsp;since January while the S&amp;P 500 and the Nasdaq Composite Index logged&nbsp;their fourth consecutive monthly gains at&nbsp;3.6 percent&nbsp;and 2.2 percent, respectively.
A string of earnings and revenue beats drove the markets higher. Additionally, accelerating economic growth and reports of renewed trade negotiations between the United States and China added to further strength.
A few sectors easily crushed the market in July. Below we have highlighted sector ETFs that witnessed handsome gains last month and could be better plays in the months ahead should the trends prevail.
U.S. Global Jets ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/jets#NYSE">JETS</a>)
Airline stocks were on tear last month buoyed by strong earnings, a busy summer travel season&nbsp;and moves to trim capacity growth and cut non-fuel costs. As such, JETS emerged as the biggest winner in July, gaining 8.4&nbsp;percent. The fund provides exposure to the global airline industry, including airline operators and manufacturers from all over the world, by tracking the U.S. Global Jets Index.
In total, the ETF&nbsp;holds 34 securities that are heavily concentrated on the top four firms with double-digit allocation each. Other firms comeprise no more than 4.6 percent. The fund has gathered $98.1 million in its asset base while sees lower trading volume of nearly 29,000 shares a day. It charges investors 60 bps in annual fees.
Alerian MLP ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/amlp#NYSE">AMLP</a>)
Master limited partnerships,&nbsp;or MLPs, rallied on robust drilling activity, strong earnings&nbsp;and the new Federal Energy Regulatory Commission ruling related to the treatment of income taxes for interstate natural gas pipeline operators that has offered them some relaxation. This fund tracks the Alerian MLP Infrastructure Index, holding 28 stocks in its basket with heavy concentration on the top six firms.
AMLP is the most popular and most liquid ETF in the MLP space, with&nbsp;$10.1 billion in assets under management and average daily volume of 15.9 million shares. It charges 85 bps in fees per year from investors.
SPDR S&amp;P Pharmaceuticals ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/xph#NYSE">XPH</a>)
A wave of mergers and acquisitions and encouraging trends including faster drug approvals, new products and Trump&#39;s tax reform fueled growth in the pharma industry. XPH provides exposure to pharma companies by tracking the S&amp;P Pharmaceuticals Select Industry Index. The product holds 44 securities, with none making up for more than 5 percent&nbsp;share each.
With AUM of $351.4 million, it trades in good volume of around 74,000 shares a day and charges 35 bps in fees a year. The product was up 7.9 percent&nbsp;over the previous month.
Invesco S&amp;P 500 Equal Weight Industrials ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/rgi#NYSE">RGI</a>)
Though the sector has been hit hard by tariff and trade disputes, it regained momentum in July thanks to strong earnings and abating fears of a trade war. As such, RGI, which offers equal-weight exposure to the stocks in the industrials sector of the S&amp;P 500 Index, gained 7.3 percent in July.
The ETF follows the S&amp;P 500 Equal Weight Industrials Index, holding 70 stocks. Machinery and aerospace &amp; defense account for double-digit exposure each, while commercial services &amp; supplies, airlines and road &amp; rail round off the next spots with single-digit allocations. The product has accumulated $271.4 million in its asset base, while volume is light at around 22,000 shares. It charges 40 bps in annual fees.
SPDR S&amp;P Aerospace &amp; Defense ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/xar#NYSE">XAR</a>)
Aerospace &amp; defense stocks ride higher on increased NATO defense spending, robust demand for passenger jets as well as earnings optimism. XAR offers equal-weight exposure to 35 stocks by tracking the S&amp;P Aerospace &amp; Defense Select Industry Index.
It has been able to manage $1.3 billion in its asset base, while trades in average daily volume of around 129,000 shares. It charges 35 bps in annual fees and has gained 7.9 percent&nbsp;in July.
Related Links:
<a href="https://www.benzinga.com/news/18/08/12120359/fidelity-rolls-out-zero-fee-index-funds">Fidelity Rolls Out Zero-Fee Index Funds</a>
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JETS

Rydex ETF Trust Rydex S&P Equal Weight Industrials ETF

These 5 Sector ETFs Were Among The Best Performers In July

Master limited partnerships and the relevant exchange traded funds rallied Thursday after the Federal Energy Regulatory Commission&nbsp;took steps it said&nbsp;ensure that natural gas pipeline rates remain fair.
FERC announced the decision after the close of U.S. markets Wednesday. On Thursday, the Alerian MLP ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/amlp#NYSE">AMLP</a>), the largest MLP ETF trading in the U.S., jumped 2.32 percent on volume that was about 2 1/2 times the daily average.
<h3>What Happened</h3>
FERC &ldquo;took final action to facilitate the pass through of the tax reductions provided by the Tax Cuts and Jobs Act signed into law on Dec. 22, 2017, and ensure natural gas pipeline rates remain just and reasonable,&rdquo; <a href="https://www.ferc.gov/media/news-releases/2018/2018-3/07-18-18.asp#.W1D_XrhlDIU">the agency said in a statement.</a>
The final rule from FERC modifies a controversial March ruling that sparked a sell-off in the MLP arena. Following a federal appeals court&#39;s ruling in the&nbsp;United Airlines, Inc. v. FERC&nbsp;case in March, <a href="https://www.ferc.gov/media/news-releases/2018/2018-1/03-15-18-G-2.asp#.W1D_Y7hlDIV">FERC stated </a>&ldquo;it no longer will allow master limited partnership interstate natural gas and oil pipelines to recover an income tax allowance in cost of service rates.&rdquo;
<h3>Why It&#39;s Important</h3>
AMLP, which tracks the Alerian MLP Infrastructure Index, is home to over $10.11 billion in assets, underscoring the point that, in recent years, many income-hungry investors have embraced MLPs. Oil pipeline and transportation firms account for over 41 percent of the Alerian MLP Infrastructure Index&#39;s weight, while natural gas pipeline operators <a href="http://www.alpsfunds.com/index-data/AMLP">represent 29.3&nbsp;percent </a>of the benchmark&#39;s weight.
AMLP has a trailing 12-month dividend yield of 7.92 percent.
FERC&#39;s &ldquo;final rule makes adjustments to the proposed form, including automatically eliminating the accumulated deferred income tax from a pipeline&rsquo;s cost of service when the form enters a federal and state income tax of zero for pipelines that are non-taxpaying entities,&rdquo; according to the commission.
<h3>What&#39;s Next</h3>
With U.S. oil output soaring and FERC&#39;s March ruling a thing of the past, income investors may be compelled to revisit MLPs and related ETFs. Immediately following FERC&#39;s March decision to disallow the income tax allowance, scores of MLPs, including some AMLP holdings, said the decision would have minimal impact on their bottom lines.
Those comments made investors more comfortable with the asset class following the controversial decision, as highlighted by nearly $912 million in second-quarter inflows of AMLP.
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<a href="https://www.benzinga.com/trading-ideas/long-ideas/18/07/12038644/exploring-the-leveraged-etf-trade-heading-into-earnings-seas">Leveraged ETFs For Earnings Season</a>

Legal

A Fantastic FERC Gift For MLP ETFs

Commission-free exchange-traded fund platforms are popular throughout the <a href="https://www.benzinga.com/investing/best-online-brokerage">brokerage </a>industry. Fidelity,&nbsp;Charles Schwab Corp. (NYSE: <a class="ticker" href="/stock/schw#NYSE">SCHW</a>) and E*Trade Financial Corp. (NASDAQ: <a class="ticker" href="/stock/etfc#NASDAQ">ETFC</a>) offer over 550 ETFs combined on a commission-free basis.
But there&#39;s a new player on the commission-free ETF stage.
Firstrade Securities, Inc. said Monday it <a href="http://www.firstrade.com/content/en-us/trading/etfs">will offer 703 ETFs without commissions</a>, by far the largest no commission ETF platform in the industry.
&ldquo;Under the just introduced program, Firstrade investors will have a wide selection of ETFs to choose from across eight asset classes, three exchanges, 82 categories and 40 fund families,&rdquo; <a href="https://www.prnewswire.com/news-releases/firstrade-offers-largest-commission-free-etf-program-with-more-than-700-etfs-300625782.html">said Firstrade in a statement</a>. &ldquo;These available ETFs are designed for long-term investors and must be held for at least 30 days (if less than 30 days, the low-cost commission is $2.95). Also included are low expense ratio ETFs from leading fund families &mdash; Vanguard, iShares, SPDR State Street and First Trust, among others. In order to minimize risk, no leveraged ETFs are being offered.&rdquo;
<h3>
	Another Favorable Fee</h3>
In most cases, investors to need to hold an ETF for more than 30 days to get the benefit of the no commission deal. If they don&#39;t do that, they&#39;re subject to redemption or early sell fees of up to $20 in some cases. While Firstrade has an early sell fee on the ETFs on its commission-free menu, it&#39;s tiny by comparison at just $2.95.
&ldquo;Firstrade had already set among the lowest trading commissions in the industry, having reduced its commission for stocks, ETFs and options from $4.95 to $2.95 per trade in September 2017,&rdquo; said the firm.
In additional to Vanguard, iShares, SPDR State Street and First Trust, other issuers on the Firstrade platform include Guggenheim, Global X, JP Morgan Asset Management, PIMCO, Deutsch Bank&#39;s DWS, PIMCO, Reality Shares, VictoryShares and WisdomTree.
<h3>
	Popular Offerings</h3>
Well-known ETFs on the Firstrade commission-free platform include the following: WisdomTree US LargeCap Dividend ETF (NYSE: <a class="ticker" href="/stock/dln#NYSE">DLN</a>), Alerian MLP ETF (NYSE: <a class="ticker" href="/stock/amlp#NYSE">AMLP</a>), ARK Innovation ETF (NYSE: <a class="ticker" href="/stock/arkk#NYSE">ARKK</a>), PIMCO Active Bond ETF (NYSE: <a class="ticker" href="/stock/bond#NYSE">BOND</a>) and the iShares MSCI KLD 400 Social ETF (NYSE: <a class="ticker" href="/stock/dsi#NYSE">DSI</a>).
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<a href="https://www.benzinga.com/analyst-ratings/analyst-color/18/04/11486812/a-sustainable-edge-against-its-peers-a-mid-cap-high-gro">This Mid-Cap ETF Could Be A Winner</a>

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The Alerian MLP (NYSE: <a class="ticker" href="/stock/amlp#NYSE">AMLP</a>) has bounced back from a steep Thursday sell-off of more than 8 percent, gaining another 2.2 percent on Friday. The volatility is related to a tax decision by the Federal Energy Regulatory Commission, which rolled back a longstanding policy of <a href="https://www.benzinga.com/trading-ideas/long-ideas/17/10/10154202/mlp-etfs-try-to-master-momentum">allowing MLPs</a> to claim an Income Tax Allowance when reporting appropriate oil and gas pipeline costs.
The decision initially spooked MLP investors, but Height Capital Markets analyst Katie Bays said the knee-jerk reaction to the news was overkill.
&ldquo;Reactions across the MLP pipeline names were mixed, but we believe they almost certainly overstated the impact of FERC&rsquo;s actions yesterday,&rdquo; Bays said in a Friday note.&nbsp;
The ruling essentially closes a tax loophole that MLPs have taken advantage of for 13 years that has allowed them to double-recover income tax costs, the analyst said.&nbsp;
FERC outlined a new proposed rulemaking process to potentially lower interstate natural gas pipeline cost-of-service rates in the wake of corporate tax reform.
&ldquo;While the FERC actions were meaningful, they should not induce panic among investors, as there is an implementation timeline for these changes, opportunities for appeal and steps that pipelines can take to mitigate negative impacts,&rdquo; Bays said.
She pointed out that companies such as Magellan Midstream Partners, L.P. (NYSE: <a class="ticker" href="/stock/mmp#NYSE">MMP</a>) and Enterprise Products Partners L.P. (NYSE: <a class="ticker" href="/stock/epd#NYSE">EPD</a>) have already assured investors that the FERC actions will have a limited impact on their businesses.
Bays expects more MLPs will likely follow suit with their own statements in coming days once details about the changes become clearer.
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<a href="https://www.benzinga.com/trading-ideas/long-ideas/18/03/11363674/mlp-etfs-endure-rough-first-quarter-global-x-says-new-tax-ru">MLP ETFs Endure Rough First Quarter, Global X Says New Tax Rule Could Help</a>

MLPX

Height Capital Markets: MLP Sell-Off Was An Overreaction

On <a href="https://www.cnbc.com/video/2017/11/15/bulls-bet-on-alerian-mlp-etf-u-s-steel.html">CNBC&#39;s &quot;Fast Money Halftime Report&quot;</a>, Jon Najarian spoke about unusual options activity in Alerian MLP (NYSE: <a class="ticker" href="/stock/amlp#NYSE">AMLP</a>) and United States Steel Corporation (NYSE: <a class="ticker" href="/stock/x#NYSE">X</a>).
Around 5,000 contracts of the January 10 calls in <a href="https://www.benzinga.com/stock/amlp">Alerian MLP</a> were traded in the first half of the trading session Wednesday. Najarian followed the trade and he is going to hold it two to three weeks.
Traders were also buying the November 26.50 calls in <a href="https://www.benzinga.com/stock/x">US Steel</a>. Around 5,000 contracts were traded in the first half and Najarian jumped in and bought these calls too. He is planning to hold them for 10 days.

CNBC

Media

Jon Najarian Sees Unusual Options Activity In Alerian MLP And US Steel

Income investors who are familiar with master limited partnerships usually prize this asset class for the high dividend yields and income-generating opportunity set. Another advantage of MLPs, at least during various points during the history of the asset class, is that these instruments are usually less sensitive to fluctuations in <a href="https://www.benzinga.com/analyst-ratings/analyst-color/17/03/9126658/nat-gas-bears-admit-there-could-be-some-upside-this-summ">natural gas</a> and <a href="https://www.benzinga.com/analyst-ratings/analyst-color/17/03/9158944/oils-decline-is-a-bullish-sign-for-stocks">oil prices</a> than the shares of producers of those commodities.
<h3>Mastering The MLP Thesis</h3>
That thesis was dealt a blow during the oil bear market of 2014 and 2015, when many MLPs and the relevant exchange traded funds sagged as bad or worse than traditional equity-based energy investments. A new ETF could help if that scenario arises again.
The Amplify YieldShares Oil-Hedged Master Limited Partnership (MLP) ETF (BATS: AMLX) debuted on Thursday. AMLX&#39;s premise is simple: Own high-yield MLPs while hedging exposure to oil prices.
<h3>AMLX's Strategy And Methodology</h3>
&ldquo;Recent history has shown that oil price declines can have a significant impact on MLP share prices,&rdquo; Christian Magoon, CEO of Amplify ETFs, said&nbsp;<a href="https://amplifyetfs.com/amlx-amplify-yieldshares-oil-hedged-mlp-income-etf">in a statement</a>. &ldquo;AMLX is an ETF designed to hedge the impact of oil on MLPs while seeking to provide income and professional management of the portfolio.&rdquo;
Home to 19 stocks, AMLX also removes the need for investors to deal with the pesky K-1 tax form, a common nuisance with MLPs and other commodities exchange traded products.
&ldquo;Investors in MLPs typically assume a secondary risk exposure related to oil prices. The risk is that oil price declines may erode the stock price returns of MLPs and perhaps the income potential of MLPs over the long term. We hedge against oil price declines when investing in MLPs to seek to reduce portfolio volatility and correlation to oil prices,&rdquo; <a href="http://amplifyetfs.com/Data/Sites/6/media/docs/AMLX_fact_sheet.pdf">the company said</a>.
Data suggest MLPs sport closer correlations to crude prices than many investors believe. Over the past 10 years on days in which crude futures fell by 2 percent or more, MLPs fell as well, according to Amplify data.
The new ETF charges 0.85 percent per year, or $85 on a $10,000 investment.&nbsp;
Related Links:&nbsp;
<a href="https://www.benzinga.com/media/cnbc/17/05/9524926/oil-etfs-and-opec-meet-again">Oil ETFs And OPEC Meet Again&nbsp;</a>
<a href="https://www.benzinga.com/news/17/05/9516463/shorts-avoid-energy-etfs-as-sector-slumps">Shorts Avoid Energy ETFs As Sector Slumps</a>

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Press Releases

ALERIAN MLP ETF DECLARES FIRST QUARTER DISTRIBUTION OF $0.88

ALERIAN MLP ETF DECLARES SECOND QUARTER DISTRIBUTION OF $0.94

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ALERIAN MLP ETF TAX UPDATE

ALERIAN MLP ETF DECLARES THIRD QUARTER DISTRIBUTION OF $0.94

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Alerian MLP ETF

Overview

Alerian MLP ETF (ARCA:AMLP), Quote.Headers.trade-ideas