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Brompton Oil Split Corp T.OSP

Brompton Oil Split Corp. (the Fund) is a Canada-based mutual fund company. The Fund’s investment objectives are to provide holders of preferred shares with fixed cumulative preferential quarterly cash distributions and to return the original issue price on the maturity date; and to provide holders of class A shares with regular monthly cash distributions and the opportunity for capital appreciation. The Fund invests in a portfolio of equity securities of large capitalization North American oil and gas issuers, primarily focused on those with significant exposure to oil. The Fund’s portfolio composition includes oil and gas investments in the United States and Canada. The Fund's Portfolio Manager is Brompton Funds Limited.


TSX:OSP - Post by User

Post by marcroberton Mar 04, 2022 4:33pm
125 Views
Post# 34485064

60% premium to nav

60% premium to navvery little message volume here. surprisingly or not, people are paying 50%+ over nav to get into this, assuming it will be north of 5 soon. this has all happened in a week, but if the ukraine situation cools off and iran comes online,. i have no doubt that oil will come down $10-15, and this will go back to the $3 range. Having said that if you buy into eric nutall's view, 2-3$ could be 6 or 7 in 6 months to a year, plus a 20% yield. the last distribution was paid almost 4 years ago. the portfolio has a lot of majors in it though but the real story is in the small to mid size names, where we might still have 100-150% upside acc to nutall for several years plus dividends turned on and increasing. that's if all goes well of course assuming the world economy and oil demand doesn't fall with ukraine escalation, more covid, rising rates etc.
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