Most energy investors want exposure to oil and gas demand without riding the full volatility of crude prices.
The USCF Midstream Energy Income Fund offers balanced exposure to U.S. and Canadian midstream energy companies, focusing on both dividends and capital appreciation. UMI's structure as a regulated investment company simplifies tax filing with 1099 forms and is suitable for taxable accounts, unlike MLP funds. Despite a higher expense ratio of 0.85%, UMI's 3-year dividend growth rate of 31.86% and solid performance make it a compelling choice for dividend growth investors.
UMI is an active midstream energy ETF. Its 0.85% expense ratio is around twice as high as those of its peers, ENFR and MLPX. It offers few important advantages to peers, with broadly similar yields, valuations, returns, and portfolios.
The midstream segment of the energy sector offers exposure to the energy market with lower volatility and stable cashflows. The USCF Midstream Energy Income Fund is an active fund that aims to provide high current income and capital appreciation. UMI has a diversified portfolio of midstream energy companies, with a 30-Day SEC yield of 5.22% and a focus on long-term contracts.