Swank Capital and Cushing® Asset Management Announce Potential Constituent Changes to The Cushing® MLP Market Cap Index
Dallas, Texas (June 23, 2017) Swank Capital, LLC and Cushing® Asset Management, LP announce a potential interim constituent change and special rebalancing of The Cushing® MLP Market Cap Index (the “Index”). On February 1, 2017, Index constituents ONEOK, Inc. (NYSE: OKE) and ONEOK Partners, L.P. (NYSE: OKS) announced an Agreement and Plan of Merger wherein OKS would be acquired by OKE, subject to the approval of both OKE shareholders and OKS unitholders. Under the terms of the proposed transaction, OKE would terminate the master limited partnership (“MLP”) structure of OKS and absorb it as a wholly-owned subsidiary within a C-corporation structure; consequently, OKE would cease to have an interest as a holder of general partner or limited partner units in an MLP and would, per the Methodology Guide for the Index, no longer be eligible for inclusion in the Index.
Special meetings of the OKE shareholders and OKS unitholders are scheduled for June 30, 2017, commencing at 9:00 AM Central Daylight Time for OKE shareholders and 10:00 AM Central Daylight Time for OKS unitholders for the purpose of considering and voting on the proposed transaction.
If the transaction is approved, OKE and OKS will be removed from the Index after market close on June 30, 2017, and replaced with EnLink Midstream, LLC (NYSE: ENLC) and Valero Energy Partners LP (NYSE: VLP). Additionally, because both OKE and OKS are incumbent constituents with a weighting exceeding 3.5%, per the Index’s methodology guide, the Index will be rebalanced and all constituent weightings will be adjusted effective on July 3, 2017, as shown below:
Potential Cushing® MLP Market Cap Index constituents effective July 3, 2017:
|Company Name||Ticker||Index Weight||Status|
|Buckeye Partners, L.P.||BPL||7.50%||Existing|
|Enterprise Products Partners, L.P.||EPD||7.50%||Existing|
|Energy Transfer Equity, L.P.||ETE||7.50%||Existing|
|Energy Transfer Partners, L.P.||ETP||7.50%||Existing|
|Magellan Midstream Partners, L.P.||MMP||7.50%||Existing|
|Western Gas Partners, L.P.||WES||4.27%||Existing|
|EQT Midstream Partners, LP||EQM||4.20%||Existing|
|NuStar Energy, L.P.||NS||3.80%||Existing|
|Tesoro Logistics LP||TLLP||3.44%||Existing|
|AmeriGas Partners, L.P.||APU||3.04%||Existing|
|Spectra Energy Partners, LP||SEP||2.98%||Existing|
|Genesis Energy, L.P.||GEL||2.97%||Existing|
|DCP Midstream, LP||DCP||2.71%||Existing|
|TC PipeLines, LP||TCP||2.67%||Existing|
|EnLink Midstream Partners, LP||ENLK||2.46%||Existing|
|Shell Midstream Partners, L.P.||SHLX||2.44%||Existing|
|Antero Midstream Partners LP||AM||2.28%||Existing|
|Tallgrass Energy Partners, LP||TEP||2.11%||Existing|
|Boardwalk Pipeline Partners, L.P.||BWP||2.09%||Existing|
|Phillips 66 Partners LP||PSXP||2.01%||Existing|
|Dominion Energy Midstream Partners, LP||DM||1.47%||Existing|
|Suburban Propane Partners, L.P.||SPH||1.42%||Existing|
|Rice Midstream Partners LP||RMP||1.31%||Existing|
|Tallgrass Energy GP, LP||TEGP||1.30%||Existing|
|Holly Energy Partners, L.P.||HEP||1.26%||Existing|
|NGL Energy Partners LP||NGL||1.20%||Existing|
|EnLink Midstream, LLC||ENLC||0.99%||NEW|
|Valero Energy Partners LP||VLP||0.97%||NEW|
Potential Constituents removed effective July 3, 2017:
|ONEOK Partners, L.P.||OKS|
ABOUT THE CUSHING® MLP MARKET CAP INDEX
The Cushing® MLP Market Cap Index provides a benchmark that is designed to track the performance of widely held master limited partnerships (MLPs). The Index is weighted on a float-adjusted market capitalization basis, with the weight of each constituent capped at 7.5% at rebalance. The Index price level is calculated by S&P Dow Jones Indices while the constituents are selected from the entire universe of publicly traded MLPs. The Cushing® MLP Market Cap Index is calculated by S&P Dow Jones Indices and reported on a real-time basis under the Bloomberg ticker “CMCI”.
ABOUT SWANK CAPITAL AND CUSHING® ASSET MANAGEMENT
Cushing® Asset Management, LP (“Cushing”), a subsidiary of Swank Capital, LLC, is an SEC-registered investment adviser headquartered in Dallas, Texas. Cushing serves as investment adviser to affiliated funds and managed accounts which invest primarily in securities of MLPs and other natural resource companies.
Cushing is also dedicated to serving the needs of MLP and energy income investors by sponsoring a variety of industry benchmarks, including The Cushing® 30 MLP Index (Bloomberg Ticker: MLPX) and The Cushing® MLP High Income Index (Bloomberg Ticker: MLPY). For more information, please visit https://www.cushingasset.com/indices.
Source: Cushing® Asset Management, LP and Swank Capital, LLC
The Cushing® MLP Market Cap Index (the “Index”) is the exclusive property of Cushing Asset Management, LP, which has contracted with S&P Opco, LLC (a subsidiary of S&P Dow Jones Indices LLC) (“S&P Dow Jones Indices”) to calculate and maintain the Index. S&P® is a registered trademark of Standard & Poor’s Financial Services LLC (“SPFS”); Dow Jones® is a registered trademark of Dow Jones Trademark Holdings LLC (“Dow Jones”); and, these trademarks have been licensed to S&P Dow Jones Indices. “Calculated by S&P Dow Jones Indices” and its related stylized mark(s) have been licensed for use by Swank Capital, LLC, and Cushing Asset Management, LP. Neither S&P Dow Jones Indices, SPFS, Dow Jones nor any of their affiliates sponsor and promote the Index and none shall be liable for any errors or omissions in calculating the Index.