DIVING FOR DEBT AND EQUITY IN OIL

摘要

Making secured loans to hydraulic fracturing and other energy producers is strictly an institutional business, but that doesn't mean there aren't smart ways for individuals to get in on an oil rebound or the resumption of the tracking boom. As a banker Andrew Beal is typically a distressed-debt buyer or a lender to companies at favorable terms. While few energy-debt-focused mutual funds or ETFs exist, it's possible to find well-managed high-yield funds or even distressed funds with big concentrations in energy assets. "We think that having some exposure to some distressed debt or aggressive high-yield mutual funds would play energy well," says Burt White, chief investment officer of LPL Financial. "The other way to play this is MLPs, the pipelines-and what is great is you have good income associated with them, and they have taken an undue amount of damage."