Overview
as of 5/31/10
Symbol
KED
Exchange
NYSE
Inception Date
9/20/2006
NAV updates
Quarterly1
Net Asset Value (NAV)
$16.89
Share Price
$14.46
Quarterly Distribution2 ($/share)
$0.30
Yield
8.3%
Total Assets
$227 million
Leverage
Objective
KED is a closed-end fund that invests principally in debt and equity securities of privately-held energy-related master limited partnerships (MLPs), publicly-traded MLPs, and other energy companies. KEDs objective is to generate both current income and capital appreciation for its shareholders. MLPs are publicly traded limited partnerships. Energy-related MLPs own domestic infrastructure assets that are used in the gathering, processing, transportation, storage, refining and distribution of energy-related commodities.
 
 
Investment Merits
MLP Sector Opportunity
MLPs provide steady distributions with attractive growth profiles. MLPs are expanding their asset bases to meet growing needs for energy infrastructure in the U.S.
Attractive Fund Structure
– KED issues a Form 1099 (as opposed to K-1s issued by MLPs).
– Suitable for IRAs, foundations and tax-exempt accounts, because unlike direct holdings in MLPs, KED does not generate unrelated business taxable income (UBTI)
Access to Private Investments
– Provides access to private investment opportunities not available to retail investors
– Kayne Anderson pioneered the private MLP market and is the leading investment firm originating and structuring private MLPs