Letters Splash image

To the Editors:
After reading a Seeking Alpha November 5 article about APLS Alerian MLP [an exchange-traded fund that invests in master limited partnerships, discussed in “New Fund Added to the Model ETF Portfolio,” by James B. Cloonan, November 2010 AAII Journal] and the very high expenses of 37% on the profits, I wondered: Did you consider this when you added it to the Model ETF Portfolio?

Dale Jeremiah

James Cloonan Responds:
While I think the Seeking Alpha articles perform a service in pointing out the taxability of earnings received by APLS Alerian MLP (AMLP), I think that it is a bit headline-seeking to suggest this tax expense (which all regular corporations have) is a fee paid to the fund managers as is the case in hedge funds. There is a letter from the fund printed in Ron Rowland’s column in Seeking Alpha, September 6, 2010, that deals with a number of the issues that have been raised. There are quite a few closed-end funds that hold master limited partnerships (MLPs), and all of them are taxed as regular corporations.

...To continue reading this article you must be registered with AAII.

Gain exclusive access to this article and all of the member benefits and investment education AAII offers.
JOIN TODAY for just $29.
Log in
Already registered with AAII? Login to read the rest of this article.

Register for FREE
to read this article and receive access to future AAII.com articles.


James from California posted over 3 years ago:

I’m a long time stock investor, a life AAII member, and retired over 15 years ago. I found the various Computerized Investing articles on spreadsheets interesting, but I would like to create my own Excel spreadsheet. The biggest problem is finding a free Internet source for the data to put into the spreadsheet. A single source providing, for example, the annual high and low prices for the past five years; and the same thing for the earnings, dividends, book value, etc. What free website do you recommend?

You need to log in as a registered AAII user before commenting.
Create an account

Log In