The last question on NRGI was roughly a year and a half ago. What are your current thoughts on it's performance since inception and how it looks going forward?
For perspective, this is a smaller position for me, while I have a very full position in Eric's NNRG ETF (which has done incredibly well for me).
Thanks....Steve
Eric remains as bullish as ever on the sector. If he is right, we have no doubt performance will follow. He runs a concentrated portfolio and knows his stuff (we worked with him for seven years). We are a little less bullish, with China slowing down and OPEC still awash in oil. But the sector is very very cheap, and based on prior cycles companies' balance sheets are in excellent shape. The potential certainly exists for decent gains witrh any sort of positive sector developments or a chanfe in sentiment. NRGI is down 6% over one-year. Longer term numbers are not yet available. Since-inception return is +3.95%. It started at $20/unit in March 2022, and is now $19.11, so the only return has been the distribution. We would consider it a good income fund, for those wanting sector exposure. We would expect slightly better all-in returns going forward, perhaps in the 6%+ range if the sector co-operates.