- DPG is exposed in some nice ways to the current commodity environment.
- However, it trades at a moderate premium to NAV, and it has many exposures that it could well do without.
- We don't see the value in investing in their mostly utilities-focused diversified portfolio when selectivity in utilities is so important right now.
- But they do offer a high yield, so for an income investor the tacit assurance of payout might make it worth it, but otherwise we'd look elsewhere.
- Despite their leverage, they haven't beaten the market, and they shouldn't do so in the near future.
For further details see:
DPG Has Some OK Exposures But Modest Premium Isn't Worth It