Oil is going up up up! mostly this SUCKS for us regualr people but I have found a way to actually improve my financial position based on the high price of oil.
Their is a class of investment knwn as "Royalty Trusts". Land owners lease the rights to develop resources found on their land (be it timber, oil, gold, gas etc) and these are often set up as a Royalty Trust that is then publically traded. Periodically (many are monthly but some are quarterly) the R.T issues royalty payments to shareholders.
These royalty payments are better then dividends becasue they are not zero-sum. Dividend payments lower the price of the stock, royalty payments do not.
The high price of oil leads to, of course, higher revenues for the oil and gas produced and sold on the lands underlying the Trusts.
I am currently invested in 3 of these:
HGT
MARPS
SBR
DO YOUR OWN RESEARCH but I wanted to tell you all that there is always an upside to every down if you look for it. There are risks in these of course so DO YOUR OWN RESEARCH before investing.
I am also heavy into metals. So whenever I see the DOW or S&P go down, and the price of oil go up, I am happy because my tickers are all green
Their is a class of investment knwn as "Royalty Trusts". Land owners lease the rights to develop resources found on their land (be it timber, oil, gold, gas etc) and these are often set up as a Royalty Trust that is then publically traded. Periodically (many are monthly but some are quarterly) the R.T issues royalty payments to shareholders.
These royalty payments are better then dividends becasue they are not zero-sum. Dividend payments lower the price of the stock, royalty payments do not.
The high price of oil leads to, of course, higher revenues for the oil and gas produced and sold on the lands underlying the Trusts.
I am currently invested in 3 of these:
HGT
MARPS
SBR
DO YOUR OWN RESEARCH but I wanted to tell you all that there is always an upside to every down if you look for it. There are risks in these of course so DO YOUR OWN RESEARCH before investing.
I am also heavy into metals. So whenever I see the DOW or S&P go down, and the price of oil go up, I am happy because my tickers are all green