Performance

Growth of $100 (10 years as of 6/30/2020)**

MHI MLP Fundamental Index Performance
Source: Morningstar Direct.
MHI MLP Fundamental Index
Alerian MLP Index
S&P 500 Index
Annualized Performance (as of 6/30/2020)**
1 Year
3 Years
5 Years
10 Years
MHI MLP Fundamental Index
(41.51)
(17.31)
(13.81)
(0.67)
Alerian MLP Index
(41.43)
(16.79)
(12.85)
(1.41)
S&P 500 Index
7.51
10.73
10.73
13.99
Source: Morningstar Direct. Parentheses represent negative performance data.
It is not possible to invest directly in an index. Index performance does not reflect the deduction of any fees and expenses.

**Miller/Howard Investments, LLC conducted a back test for the MLP Fundamental Index going back to the selection date of November 21, 2008 (Invest Date: November 28, 2008). For the back test, the threshold for the three-month average daily value was waived for all selection dates, excluding the selection date conducted on August 16, 2013. For the historical date November 21, 2008, the Market Capitalization requirement of $500 million was reduced to $400 million to ensure an eligible universe of at least 25 companies. The Market Capitalization requirement was used on all following selection dates. Annualized Performance and Growth of $100 noted above are based on the back test for the period November 28, 2008 – August 22, 2013.

Past performance does not guarantee future results.

Sector Weights

As of selection date 5/15/2020***
Sector Weights Chart
***May not total to 100% due to rounding
Index Information
Tickers
Price Return MLPMP
Total Return MLPMH
Inception Date August 23, 2013
Calculated by Chicago Board Options Exchange
Rebalancing Quarterly
Index Portfolio Characteristics
Number of Companies 25
15 MLPs from Large Group equal weighted at 5%
10 MLPs from Mid-Small Group equal weighted at 2.5%

Constituents

As of selection date 8/21/2020
Large Cap Group/Company Ticker
Cheniere Energy Partners LP CQP
DCP Midstream LP DCP
Enable Midstream Partners LP ENBL
Enterprise Products Partners LP EPD
Energy Transfer LP ET
Holly Energy Partners LP HEP
Magellan Midstream Partners LP MMP
MPLX LP MPLX
NuStar Energy LP NS
Plains All American Pipeline LP PAA
Phillips 66 Partners LP PSXP
Shell Midstream Partners LP SHLX
Sunoco LP SUN
TC PipeLines LP TCP
Western Midstream Partners LP WES
Mid-Small Cap Group/Company Ticker
BP Midstream Partners LP BPMP
Crestwood Equity Partners LP CEQP
CNX Midstream Partners LP CNXM
Delek Logistics Partners LP DKL
Noble Midstream Partners LP NBLX
NGL Energy Partners LP NGL
PBF Logistics LP PBFX
Rattler Midstream LP RTLR
Suburban Propane Partners LP SPH
USA Compression Partners LP USAC
 
Total Members 25
Download Constituents List  ►
The securities identified and described above do not represent all of the securities purchased, sold or recommended for client accounts, or all securities considered as a candidate for inclusion in the Index. The reader should not assume that an investment in the securities identified was or will be profitable.

Overview

About This Index

The Miller/Howard MLP Fundamental Index® is a composite of 25 energy master limited partnerships (MLPs) that uses modified equal weighting based on certain quantitative fundamental factors of publicly traded MLPs. The index seeks to go beyond cap-weighted MLP exposure, focusing on fundamental factors that we've identified as potential key drivers of total return performance.

Selection Criteria

  • Distribution Growth
  • Distribution Coverage
  • Estimated Fiscal Year Capital Expenditure

Key Ranking Factors

The index utilizes three main factors in its selection process: distribution growth, distribution coverage, and estimated capital expenditures. In addition, a portion of the index is allocated to mid- and small-cap MLPs.

  • Distribution growth is commonly viewed as an MLP's most attractive characteristic. The potential "unfixed" nature of its distributions over time is not only appealing to investors for the growing income stream it provides, but can also be indicative of future growth.
  • Distribution coverage is a measure of an MLP's ability to pay regular distributions. A higher distribution-coverage ratio could also signal an MLP's ability to raise future distribution payments.
  • Capital expenditures are an important factor to consider, as MLPs with internal and external expansion opportunities often lead to distribution growth.
  • Mid- and small-cap MLPs are included. Most MLP investment products are highly concentrated in the largest and most liquid midstream MLPs. Mid- and small-cap MLPs potentially offer attractive risk/return profiles, and can be additive to total income generation. Importantly, these companies may also be involved in industry consolidation in future years.

Eligibility Requirements

  • Must be listed on the New York Stock Exchange (including NYSE Arca and NYSE Amex) or NASDAQ.
  • Must have existed for at least 12 months.
  • Must be an energy MLP or general partner.
  • No distribution cut in previous year.
  • Market capitalization of at least $500 million.
  • Above certain three-month-average daily trading volume thresholds.

News

September 28, 2020—CNX Midstream Partners LP (CNXM) has been acquired by CNX Resources Corp (CNX) and the ticker has delisted from the New York Stock Exchange generating a special rebalance of the Miller/Howard MLP Fundamental Index (the Index). The replacement candidate for CNXM will be Genesis Energy LP (GEL).

GEL will enter the index at CNXM's weight.

The Index special rebalance is expected to occur at the close on September 29, 2020.

Document Links

Index Methodology White Paper  ►
Index Fact Sheet  ►
Miller/Howard MLP Fundamental Index® Q&A  ►
Constituents  ►

Linked Products

C-Tracks Exchange Traded Note  ►

*Fundamental Index® is a registered trademark of Research Affiliates, LLC, which is used under license by Miller/Howard Investments, Inc.

This data is provided for informational purposes only and is not intended for trading purposes. Information shown shall not constitute an offering of any security, product, or service. In addition, removal or inclusion of a security in the index is not a recommendation to buy, sell, or hold that security, nor is it investment advice. It is not possible to invest directly in an index. Index performance does not reflect the deduction of any fees and expenses. Past performance is not a guarantee of future returns.

The information contained on this site is current as of the publication date. Miller/Howard Strategic Indexes, LLC ("MHSI") makes no representations with respect to the accuracy or completeness of these materials and will not accept responsibility for damages, direct or indirect, resulting from an error or omission in this document.

This communication is for informational purposes only, and does not constitute an offering of any security, product, or service.

MHSI receives compensation in connection with licensing its Indexes to third parties. In addition, Miller/Howard Investments, an affiliate of MHSI, provides investment advice to clients and receives fees from those clients accordingly. Miller/Howard Investments, as part of providing investment advice may recommend to its clients to buy or sell securities included in an Index. Such recommendations are made independent of any changes made to an Index or any changes that may be under consideration. MHSI has established policies and procedures to ensure its activities as Index Sponsor are separate from and independent of Miller/Howard Investments' activities as an investment advisor. The Indexes are the exclusive property of Miller/Howard Strategic Indexes, LLC which has contracted with Chicago Board Options Exchange ("CBOE") to maintain and calculate the Indexes. No portion of publications on this site may be reproduced in any form or by any means including electronically, mechanically or photocopying, without the prior written consent of Miller/Howard Strategic Indexes, LLC.

© 2020 Miller/Howard Investments.

DISCLOSURE

*Fundamental Index® is a registered trademark of Research Affiliates, LLC, which is used under license by Miller/Howard Investments, Inc.

This data is provided for informational purposes only and is not intended for trading purposes. Information shown shall not constitute an offering of any security, product, or service. In addition, removal or inclusion of a security in the index is not a recommendation to buy, sell, or hold that security, nor is it investment advice. It is not possible to invest directly in an index. Index performance does not reflect the deduction of any fees and expenses. Past performance is not a guarantee of future returns.

The information contained on this site is current as of the publication date. Miller/Howard Strategic Indexes, LLC ("MHSI") makes no representations with respect to the accuracy or completeness of these materials and will not accept responsibility for damages, direct or indirect, resulting from an error or omission in this document.

This communication is for informational purposes only, and does not constitute an offering of any security, product, or service.

MHSI receives compensation in connection with licensing its Indexes to third parties. In addition, Miller/Howard Investments, an affiliate of MHSI, provides investment advice to clients and receives fees from those clients accordingly. Miller/Howard Investments, as part of providing investment advice may recommend to its clients to buy or sell securities included in an Index. Such recommendations are made independent of any changes made to an Index or any changes that may be under consideration. MHSI has established policies and procedures to ensure its activities as Index Sponsor are separate from and independent of Miller/Howard Investments' activities as an investment advisor. The Indexes are the exclusive property of Miller/Howard Strategic Indexes, LLC which has contracted with Chicago Board Options Exchange ("CBOE") to maintain and calculate the Indexes. No portion of publications on this site may be reproduced in any form or by any means including electronically, mechanically or photocopying, without the prior written consent of Miller/Howard Strategic Indexes, LLC.

© 2020 Miller/Howard Investments.