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Earn 11% Own LRE (LRR ENERGY) (and watch LNCO)

This blog provides comments and thoughts on the financial markets and specifically—dividend producing investments.

(Update:  This thing blew up.  Do Not Buy.   If you already bought, HOLD for now.) (Update:  May 1.  We have been waiting for a drop in LRE.  It hit $16.56 yesterday.  Buy now.)

LRR Energy is a MLP Master Limited Partnership that is currently priced at $17.55 and pays just under 11%.  LRE is going ex-dividend at the end of April and I would place a buy order now at $16.80 (or anywhere around there) and try to get LRE at a lower price…up to $17.00.

LRE is a good position for taxable accounts.  It’s a Delaware limited partnership that operates and develops oil and natural gas properties:  in the Texas, New Mexico, and Oklahoma areas.

NOTE:  With the markets powering upward, I would be very cautious about buying anything right now….at least wait until they go on sale with a pullback.

Altho the markets will probably go higher long term, maybe for years, wait for the prices to come to you ie wait for the ex-div dates which allows you to pick up shares at lower prices.  As an example, LNCO (one of my core holdings) is an MLP that is specifically designed for the IRA.  It is going ex-dividend in early May and you may be able to buy at lower prices.  See updated infor here.

I am not an investment professional.  You must do your own research before buying any position.  All gains or losses that you realize are based on your choices.  Additional commentary is posted in the right margin under ‘Recent Posts’.

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