Westwood Salient Enhanced Energy Income ETF (WEEI)

Overview

The Westwood Salient Enhanced Energy Income ETF (XOUT) aims to provide current income and some capital appreciation by investing primarily in energy infrastructure companies. The fund seeks to outperform the Alerian MLP Index through active management and a focus on quality and dividend growth.

Reputation and Reliability

Salient Capital Advisors, the sub-advisor, has a strong reputation in energy infrastructure investing. Westwood's reputation is solid with years of experiences.

Management Expertise

The management team possesses extensive experience in the energy sector, including midstream and upstream oil and gas companies.

Goal

To provide current income and some capital appreciation.

Investment Approach and Strategy

Strategy: The fund employs an active management strategy, focusing on companies with strong balance sheets and consistent dividend growth.

Composition The ETF primarily holds stocks of energy infrastructure companies, including MLPs, pipelines, and storage facilities.

Market Share: The market share of XOUT varies based on the segment measured, it is a niche ETF within the broader energy sector.

Total Net Assets (AUM): 55920000

Key Competitors

• MLPX
• ENFR
• AMLP
• INFRA

Competitive Landscape

The energy infrastructure ETF market is competitive, with several large players offering similar exposures. XOUT's active management is an advantage, but can also lead to underperformance versus passive index trackers. XOUT focuses on quality dividend growth which distinguishes it from other high-yield alternatives.

Historical Performance: Past performance does not guarantee future results. Investors should review the ETF's fact sheet for detailed performance data.

Benchmark Comparison: The ETF's performance can be compared to the Alerian MLP Index. Check the fact sheet for the actual benchmark.

Expense Ratio: 0.85

Average Trading Volume

The average daily trading volume of XOUT is moderate, implying reasonable liquidity, but larger trades may experience some price impact.

Bid-Ask Spread

The bid-ask spread can vary, but is usually around $0.10, reflecting the ETF's trading activity.

Market Environment Factors

Economic indicators, energy prices, and regulatory changes can affect XOUT. Interest rate changes, inflation, and commodity prices can impact XOUT.

Growth Trajectory

XOUT's growth depends on the health of the energy sector and its ability to deliver income and growth. Changes to strategy and holdings can be tracked through regulatory filings.

Competitive Edge

XOUTu2019s competitive advantage lies in its active management approach, which seeks to identify undervalued energy infrastructure companies with strong dividend growth potential. The fund's focus on quality and dividend growth may allow it to outperform during periods of market volatility or when income-oriented investors are seeking stable returns. By avoiding the lowest-quality and riskiest MLP names, XOUT has less probability of holdings cutting dividends than competitors. The fund's actively managed strategy also allows it to adapt its portfolio in response to changing market conditions.

Volatility

The fund's volatility can be significant, as energy infrastructure investments can be sensitive to commodity price swings and economic cycles.

Market Risk

The risks associated with XOUT include regulatory risks, interest rate risks, and geopolitical risks inherent in the energy sector.

Ideal Investor Profile

XOUT is suitable for income-seeking investors who understand the risks and rewards of investing in energy infrastructure.

Market Risk

XOUT is best suited for long-term investors who are willing to accept some volatility in exchange for higher income potential. Not suitable for very conservative investors.

XOUT is an actively managed ETF focused on energy infrastructure. It aims to provide current income and capital appreciation through a portfolio of dividend-paying companies. The fund's active management and focus on quality may offer advantages, but come with higher expenses. XOUT is suitable for income-seeking investors who understand the risks of the energy sector. Past performance is not indicative of future results and investors should consider the ETF's risks before investing.

Data Sources:

• ETF.com
• Morningstar
• Company Fact Sheet

Disclaimers:

This analysis is for informational purposes only and does not constitute financial advice. Consult with a qualified financial advisor before making any investment decisions.