Kayne Anderson currently manages approximately $1.0 billion in energy credit with a niche strategy focused on early value recognition in companies in both midstream and upstream energy credit. The energy credit strategy is supported by an institutional-quality research team including former reserve engineers, pipeline operators, sell-side energy research analysts, and investment bankers that performs extensive fundamental and quantitative analysis.
The energy subset of the high yield market has generated attractive returns with lower volatility than the overall high yield market. In addition, the development of unconventional methods of producing oil and gas such as horizontal drilling and hydraulic fracturing have redrawn the map of producing basins in North America and will result in an unprecedented spend in energy credit in the coming decades. Our energy credit investment strategy was designed in an effort to:
The midstream value chain is a critical part of energy credit responsible for moving product from wellhead to consumption
Leader in MLP investing, which continue to be prolific issuers of both equity and credit
Kayne is a major player in both the equity and credit markets for energy and an important partner for many of these issuers