Tapping into the US energy revolution

The energy infrastructure sector in the US has outperformed major equity and bond benchmarks over the past five years, posting annualised total returns of 32%, compared to 19% for the S&P 500.

One of the ways investors can access this theme is through Master Limited Partnerships (MLPs) – a tax-efficient US corporate structure allowing investment in energy infrastructure assets in North America, including crude oil and natural gas pipelines, storage facilities, and terminals. Michael Langerup, director of product strategy at ETF Securities, presented the group’s US energy infrastructure MLP GO UCITS ETF at Investment Week’s Funds to Watch conference last week. Below, he talks about the advantages of investing in this sector. Where could this ETF fit in a regular investor’s p...