Opportunity within REIT Preferreds
Most investors currently have a negative forecast for Real Estate Investment Trusts (“REITs”), we think it’s a great time to own preferred..
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Infrastructure Capital Advisors
Income from Real Assets
We are long-term investors seeking to maximize investment returns over full market cycles. To minimize risk, we prefer to invest in securities backed by long-lived assets that generate substantial streams of free cash flow. To enhance income for more risk tolerant investors, we may use modest leverage or options strategies.
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Long-Term Investing
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We invest in long-lived assets and seek to maximize returns over a full market cycle.
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We believe companies in the infrastructure sectors often own irreplaceable assets whose value will grow over the long term. These assets may include real estate in premier locations, pipeline right-of-ways, or storage terminals in critical harbor locations. Go to Funds Page to see ETF options.
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We focus on relative valuations in terms of credit quality and asset valuations to best position portfolios in each stage of an economic cycle.
Infrastructure Focus
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We seek total-return opportunities driven by catalysts, largely in key infrastructure sectors. These sectors include energy, real estate, transportation, industrials, and utilities.
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We often identify opportunities in entities that are not taxed at the entity level, such as master limited partnerships ("MLPs") and real estate investment trusts ("REITs"). See MLP ETF or REIT ETF
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We like to find opportunities in credit and related securities, such as preferred stocks, that are often issued by companies in our target market sectors. See Preferred Stock Trading Overview PDF
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Distribution Payouts
Income Emphasis
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Current income is a primary objective in most, but not all, of our investing activities. Consequently, the focus is generally on companies that generate and distribute substantial streams of free cash flow.
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Our approach is based on the belief that tangible assets that produce free cash flow have intrinsic values that are unlikely to deteriorate over time.
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Credit quality screens can eliminate positions where the issuer’s credit quality is deteriorating or financial stress is evident. The avoidance of distressed securities can support the sustainability of the income stream.
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Our actively managed funds may use modest leverage and covered call writing strategies to enhance income available for distribution.
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We manage both fixed-income and equity-income funds to meet the needs of different classes of investors.
How We Invest
RECENT INVESTING ARTICLES
InfraCap Management
- Aug 16
- 4 min
ICA's Commentary: Energy Transfer LP (ET) to acquire Crestwood Equity Partners (CEQP)
With the Energy Transfer merger with Crestwood Equity, we expect the CEQP 9 ¼ convertible preferred to trade higher and yield closer to ,,,
104
InfraCap Management
- Jul 6
- 4 min
Publicly Traded Investment Vehicles: Refresher comparing ETFs, Mutual Funds, and CEFs
In this investing primer, we outline the differences and advantages of ETFs vs Mutual Funds and CEFs.
40
InfraCap Management
- Jun 28
- 2 min
Income Review: Preferred Stocks May Be Undervalued Relative to High Yield Bonds
Both preferred stocks and high yield bonds have experienced a decline in value (exchange listed price) during the Federal Reserve's ...
456
InfraCap Management
- Jun 26
- 7 min
The 2% Inflation Target is Arbitrary
We believe the 2% inflation target may have undesirable effects on nations as a whole and on certain demographics within (i.e., middle class
834
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