Pages

Sunday, March 4, 2012

Build Your Own Bakken ETF -- Motley Fool

I really don't care for Motley Fool. I lost my "love" for Motley Fool some time ago; I forget the specific tipping point but it had to do with all the focus on getting folks to pay for their newsletters. They write superficial, short stories and then entice you to link elsewhere to pay for a newsletter subscription.

I will still post Motley Fool articles, but I am much more circumspect.

Motley Fool has another such story: superficial, minimal analysis, and a blurb on what Bakken companies would make up his ETF. This writer says there is no easy way to invest in a Bakken ETF; this is not entirely correct. There is a mutual fund that focuses on the Bakken. I forget the name of the fund; I don't follow it and I don't invest in it. This is not an investment site; see disclaimer at the sidebar at the right. [Update: a reader sent me the name of the referenced fund: it is the Williston Basin Stock Fund, managed by a group in Minot, ND, Integrity Viking Funds.] 

Be that as it may, the writer of the linked article says his Bakken ETF would be composed of these five as starters: KOG, Triangle, NOG, Oasis, and Magnum Hunter Resources. I can't argue. But I'm not sure why he wouldn't throw in WLL and CLR.

Of the five companies the Motley Fool writer mentions, Oasis seems to be the one hitting on all cylinders. I don't own Oasis but Oasis is my favorite of the KOG-OAS-NOG triumvirate. KOG has its work cut out for itself to convince analysts it can make a profit next time around, or at least not surprise them. NOG has become packed with too much emotion for many; it has a unique business model, one that I particularly like but I don't own. I hold some shares in Triangle, bought a long time, but no longer follow. (Yes, no typo. Unless I check now, I don't know what Triangle is selling for and I don't know what Mike Filloon says it's worth. It's simply one of my long-term holdings. I follow the news closely but I don't follow day-to-day fluctuations.)  I don't follow Magnum Hunter but it is getting a lot of press.

I  have no plans to buy or sell shares in any Bakken-play company in the near term.

1 comment:

  1. Yes, the Minot fund is ticker ICPAX and has performed very well. I got in at around $3 and now its around $6. I talked to them a couple weeks back and they have gone from a $1 million dollar fund to close to $550 million. I have compared it to other energy funds and it has left them in the dust.....

    ReplyDelete

Note: Only a member of this blog may post a comment.