KYN - MLP Investment Company

Fact Sheet

Overview
as of 12/31/11
Symbol
KYN
Exchange
NYSE
Inception Date
9/28/2004
NAV updates1
Thursdays &
month end
Total Assets
$3,810 million
Leverage
Quarterly Distribution2 ($/share)
$0.51
% of portfolio assets with Call Options
0.3% 
Objective

KYN is a closed-end fund that invests principally in equity securities of energy-related master limited partnerships (MLPs). KYN's objective is to obtain high after tax total returns 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

- KYN 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, KYN does not generate unrelated business taxable income (UBTI).

Access to Private Investments

KYN provides access to private investment opportunities not available to retail investors.

Portfolio
as of 12/31/11
[image]
Top 10 Holdings
as of 12/31/11
Enterprise Products Partners, LP
8.9%
Kinder Morgan Management, LLC
7.8%
Plains All American Pipeline, LP
5.7%
MarkWest Energy Partners, LP
5.5%
Energy Transfer Equity, LP
4.7%
Williams Partners, LP
4.5%
Magellan Midstream Partners, LP
4.3%
Regency Energy Partners, LP
4.1%
El Paso Pipeline Partners, LP
 3.6%
ONEOK Partners, LP
3.5%
52.6%



For the full portfolio, please see the Schedule of Investments in our most recent quarterly or annual report.

Quarterly Distributions per Share
[image]

View the complete Distribution History for KYN.

Tax Character of 2010 Distributions
Return of capital 56%
Qualified dividends 44%
  100%

 

View Forms 1099-DIV and Tax Information for KYN

Total Return (NAV plus distributions)
9/28/04 to 12/31/11
[image]
Share Price and NAV History4
9/28/04 to 12/31/11
[image]
Premium/Discount to NAV4
9/28/04 to 12/31/11
[image]
Calendar Year Returns
as of 12/31/11
 
2005
2006
2007
2008
2009
2010
2011
NAV and distributions3
8.8%
26.3%
8.2%
-51.7%
79.8%
36.7%
12.8%
NAV only
2.6%
18.1%
1.9%
-55.4%
61.9%
26.5%
5.1%
Share price and distributions3
3.3%
44.9%
-5.5%
-39.8%
70.6%
35.8%
3.6%
Share price only
-2.6%
35.5%
-11.0%
-44.4%
53.6%
25.7%
-3.5%
Period Returns (Not annualized)
as of 12/31/11
 
3 Mo.
6 Mo.
1-Yr
2-Yr
3-Yr
5-Yr
Since Inception
NAV and distributions3
18.0%
6.8%
12.8%
54.3%
177.5%
45.0%
103.8%
NAV only
15.8%
2.9%
5.1%
33.0%
115.4%
-2.2%
21.2%
Share price and distributions3
11.3%
4.2%
3.6%
40.7%
140.1%
36.5%
104.2%
Share price only
9.2%
0.4%
-3.5%
21.3%
86.3%
-7.9%
21.5%
Growth of Hypothetical $10,000 Investment
Date
NAV and Distrib 
Share Price
and Distrib
Inception (9/28/04)
$10,000
$10,000 
12/31/04
10,233
10,000 
12/31/05
11,134
10,329 
12/31/06
14,062
14,963 
12/31/07
15,213
14,136 
12/31/08
7,346
8,508 
12/31/09
13,211
14,517 
12/31/10
18,064
19,717 
12/31/11
20,384
20,425 

 

This table illustrates the growth of a hypothetical $10,000 investment in the fund's common shares beginning on the inception date with all distributions reinvested through the Dividend Reinvestment Program (DRIP). Ending values as of the dates shown in the table. Performance does not reflect transaction fees or broker commissions. Past performance is no guarantee of future results.

1) Weekly NAVs are calculated as of close of business on Thursdays and posted to our website on Fridays after the market closes at KYN NAV. Month-end NAVs are issued via press release and posted to the website within a few days of the end of the month.
2) Payable on 1/13/12 for the quarter ended 11/30/11.
3) Assumes that distributions have been reinvested through the Dividend Reinvestment Program (DRIP).
4) NAV and share price shown monthly until 7/31/07 and weekly and at month-end thereafter.

This material shall not constitute an offer to sell or a solicitation to buy, nor shall there be any sale of the securities in any jurisdiction in which such offer or sale is not permitted. Past performance is not a guarantee of future results. An investment in the fund could suffer loss. Current performance may be lower or higher than that shown based on market fluctuations from the end of the reported period. Before making an investment in the fund, you should consider the investment objective, risks, charges and expenses of the fund, which, together with and other important information are included in the fund's most recent prospectus and other filings with the SEC. There can be no assurance that the fund's investment objectives will be attained. Shares of closed-end funds frequently trade at a market price that is below their net asset value. Leverage creates risks which may adversely affect return, including the likelihood of greater volatility of net asset value and market price of common shares, and fluctuations in dividend rates on any preferred shares.

NOT FDIC INSURED
NOT BANK GUARANTEED
MAY LOSE VALUE

Copyright © 2012 - KA Fund Advisors, LLC - All rights reserved.