ST. LOUIS--(BUSINESS WIRE)--The Advisory Research MLP & Energy Income Fund (INFIX), an open-end mutual fund, announced its quarterly distribution of $0.1776. The distribution will be payable on May 27, 2016 with a record date of May 26, 2016. The quarterly distribution is flat compared to the previous quarter’s distribution and up year-over-year.
“We are pleased that the Fund has increased its standard quarterly distribution every year since its 2010 inception date. The Fund’s distributions are supported by stable cash flows from investments across the capital structure of MLPs and energy infrastructure companies,” said James Cunnane Jr., Chief Investment Officer – MLP & Energy Infrastructure.
Formed as a Regulated Investment Company (RIC), the Fund’s structure intends to avoid additional taxation at the fund level, shields investors from Unrelated Business Taxable Income (“UBTI”), and delivers a 1099 tax form to its investors for tax reporting purposes. The Fund may invest up to 25% of total assets in MLPs, the remainder of the portfolio is primarily invested in midstream-focused, MLP parent and energy infrastructure entities.
“The flexibility of the Fund’s investment strategy has allowed us to adjust the portfolio allocations to take advantage of the recent market dislocation to support the distribution. As market conditions improve and distribution growth reaccelerates, we believe the Fund has the potential to consistently grow its distribution over time,” said Quinn Kiley, Senior Portfolio Manager.
Class A, Class C, and Class I (Institutional) shares are available under the ticker symbols: INFRX, INFFX, and INFIX, respectively. More information regarding the Fund’s distributions can be found on our website at: http://www.advisoryresearch.com/solutions/mutual-funds/mlp-energy-income-fund/
Investors can access the Fund directly through the Fund's transfer agent, UMB Fund Services, Inc. and through various broker dealers and financial intermediaries. Advisory Research, Inc. is a wholly owned subsidiary of Piper Jaffray Companies.
About Advisory Research, Inc.
The MLP and Energy Infrastructure team, located in St. Louis, MO, is a 15-person team fully dedicated to managing $4.1 billion in assets in Master Limited Partnerships (MLPs) and energy infrastructure strategies for open- and closed-end mutual funds, private wealth individuals, public and corporate pension plans, endowments and foundations as of April 30, 2016. The MLP and Energy Infrastructure team is part of Advisory Research, which manages more than $7.9 billion in assets, including MLPs, domestic equity, international equity and alternative investments.
Jim Cunnane, with 23 years of investment experience, is Managing Director and Chief Investment Officer of the Advisory Research MLP & Energy Infrastructure team. He oversees the firm’s MLP and energy infrastructure product lines and chairs the Risk Management Committee. Quinn Kiley, with 15 years of investment experience, is Managing Director and Senior Portfolio Manager of the Advisory Research MLP & Energy Infrastructure team and his responsibilities include portfolio management of various MLP and energy infrastructure assets and oversight of the team’s research process.
The Fund is non-diversified and invests primarily in the energy infrastructure sector which exposes the Fund to greater market risk than if its assets were diversified among a greater number of issuers. The Fund invests in the equity and debt securities of companies in the energy infrastructure sector which are subject to supply and demand risk, regulatory risk, commodity pricing and cash flow risk, weather and natural resources sector risk.
The Fund may invest in derivatives, (futures and options), high yield debt (also known as junk bonds) and ETFs. These investments involve significant risks and losses may occur. Derivatives may be more sensitive to changes in market conditions and may amplify risks. MLPs (Master Limited Partnerships) and fixed income securities are sensitive to interest rate movements and may decline when interest rates rise which could negatively affect the value of the fund.
The Fund intends to elect to be treated and to qualify each year, as a “regulated investment company” under the U.S. Internal Revenue Code of 1986 (the “Code”). To maintain qualification for federal income tax purposes as a regulated investment company under the Code, the Fund must meet certain source-of-income, asset diversification and annual distribution requirements. If for any taxable year the Fund fails to qualify for the special federal income tax treatment afforded to regulated investment companies, all taxable income will be subject to federal income tax and possibly state and local income tax at regular corporate rates (without any deduction for distributions to shareholders) and any income available for distribution will be reduced.
The Fund’s prospectus, or summary prospectus which is available upon request by calling the Fund at (888) 665-1414 or by visiting our website at www.advisoryresearch.com, includes investment objectives, risks, fees, expenses, and other information that you should read and consider carefully before investing.
Past performance is no guarantee of future results.
The Advisory Research Funds are distributed by IMST Distributors, LLC.