• Overview

    Category
    Sector & Specialty - Energy

    Hennessy BP Midstream Fund

    Actively managed, the Fund maintains a concentrated portfolio of midstream energy companies and seeks to deliver a significant and predictable income stream.

    Investor

    HMSFX

    Institutional

    HMSIX

    Morningstar style box

    Morningstar style box
    portfolio manager perspective
    portfolio manager perspective

    Why Invest

    • Opportunity to invest in core midstream energy companies that should benefit from the growth in production and demand for U.S. energy
    • Concentrated, actively managed portfolio
    • In-depth, rigorous "boots-on-the-ground" research led by managers with decades of combined energy investing experience

    Investment Approach

    The Hennessy BP Midstream Fund invests primarily in core midstream companies that transport, store, and process oil and natural gas. The Portfolio Managers seek companies with lower commodity price exposure, a "demand-pull" bias, and strong balance sheet metrics, with sufficient cash flows to support an attractive yield.

    The Portfolio Managers employ a fundamental, “boots-on-the-ground” research-intensive investment process to select holdings, focusing on four key steps:

    - Develop commodity forecasts and key sector investment themes

    - Identify primary beneficiaries of investment themes

    - Value companies on both a relative and absolute basis to uncover potential stock mispricing opportunities

    - Size position based on conviction, expected return, volatility, and liquidity

    Portfolio Managers

    • Toby Loftin
      Portfolio Manager
      • 6
        Years on Fund
      • 21
        Years of Experience
    • Ben Cook
      Portfolio Manager
      • 3
        Years on Fund
      • 20
        Years of Experience

    The Fund is sub-advised by Dallas-based BP Capital Fund Advisors, LLC.  Having worked alongside legendary energy investor and BP Capital founder, Boone Pickens, the Portfolio Managers have developed deep relationships across the energy industry and maintain a sole focus on energy investing.

    “We believe midstream companies are clear beneficiaries of the tremendous growth in U.S. energy supply and global demand.”

    - Toby Loftin

  • Insights & News

  • Performance

    Daily Pricing & Performance

    as of 7/2/20
    • Investor Class (HMSFX)
      • NAV

        $6.66

      • $ Change

        $0.02

      • % Change

        0.30%

      • YTD

        -36.28%

    • Institutional Class (HMSIX)
      • NAV

        $6.80

      • $ Change

        $0.02

      • % Change

        0.29%

      • YTD

        -36.16%

    Average Annualized Total Return

    as of 5/31/20
    Name 1 Mo YTD 1 yr 3 yr 5 yr Since Inception (12/31/13)
    Investor Class (HMSFX) 6.52% -30.61% -31.69% -15.96% -13.15% -8.50%
    Institutional Class (HMSIX) 6.54% -30.51% -31.51% -15.76% -12.93% -8.27%
    Alerian MLP Index 8.95% -30.21% -34.74% -14.67% -12.93% -10.00%
    S&P 500® Index 4.76% -4.97% 12.84% 10.23% 9.86% 10.33%

    Please swipe to view table

    as of 3/31/20
    Name QTR YTD 1 yr 3 yr 5 yr Since Inception (12/31/13)
    Investor Class (HMSFX) -53.24% -53.24% -56.39% -27.56% -19.33% -14.31%
    Institutional Class (HMSIX) -53.28% -53.28% -56.33% -27.43% -19.15% -14.11%
    Alerian MLP Index -57.19% -57.19% -60.95% -28.91% -20.66% -17.00%
    S&P 500® Index -19.60% -19.60% -6.98% 5.10% 6.73% 7.70%

    Please swipe to view table

    Hypothetical Growth of $10,000

    as of 5/31/2020

    Value of $10,000 invested between 5/31/2019 and 5/31/2020

    BP Midstream Fund (HMSFX) $6,831
    BP Midstream Fund (HMSIX) $6,849
    Alerian MLP Index $6,526
    S&P 500® Index $11,284

    Value of $10,000 invested between 5/31/2017 and 5/31/2020

    BP Midstream Fund (HMSFX) $5,935
    BP Midstream Fund (HMSIX) $5,977
    Alerian MLP Index $6,214
    S&P 500® Index $13,395

    Value of $10,000 invested between 5/31/2015 and 5/31/2020

    BP Midstream Fund (HMSFX) $4,940
    BP Midstream Fund (HMSIX) $5,005
    Alerian MLP Index $5,004
    S&P 500® Index $16,005

    Value of $10,000 invested between 12/31/2013 and 5/31/2020

    BP Midstream Fund (HMSFX) $5,657
    BP Midstream Fund (HMSIX) $5,750
    Alerian MLP Index $5,089
    S&P 500® Index $18,784

    Calendar Year Total Returns

      2014 2015 2016 2017 2018 2019
    Investor Class (HMSFX)
    11.55 -28.17 21.55 -4.97 -21.20 11.76
    Institutional Class (HMSIX)
    11.83 -27.98 21.87 -4.75 -20.96 11.96
    Alerian MLP Index
    4.80 -32.59 18.31 -6.52 -12.42 6.56
    S&P 500® Index
    13.69 1.38 11.96 21.83 -4.38 31.49

    Yield

    as of 5/31/20
    Investor Class (HMSFX) Institutional Class (HMSIX)
    Distribution Rate 13.75% 13.48%
    30-Day SEC Yield 0.00% 0.00%
    Distribution Frequency Quarterly Quarterly
    Most Recent Distribution $0.2575 $0.2575
    Most Recent Distribution Paid Date 06/01/2020 06/01/2020

    Please swipe to view table

    Returns-Based Statistics
    Relative to Alerian MLP Index

    as of 3/31/20
    Investor Class (HMSFX)
    Type 3 yr 5 yr
    Alpha -1.07 -0.20
    Beta 0.93 0.93
    Upside Capture 91.76 90.38
    Downside Capture 93.78 91.93
    Institutional Class (HMSIX)
    Type 3 yr 5 yr
    Alpha -0.86 0.05
    Beta 0.93 0.93
    Upside Capture 92.16 90.88
    Downside Capture 93.59 91.70

    Alpha measures the fund’s excess return relative to the return of the benchmark. Beta measures the volatility of the fund compared to that of the benchmark. The beta of the benchmark is 1.00. Capture ratios measure the fund’s overall performance in up markets (positive return periods) and down markets (negative return periods).

    Sharpe Ratio

    as of 3/31/20
    Type 3 yr 5 yr
    Investor Class (HMSFX) -0.88 -0.63
    Institutional Class (HMSIX) -0.88 -0.63
    Alerian MLP Index -0.86 -0.64
    Energy Limited Partnership Category Average -0.83 -0.63

    Sharpe Ratio is a measure of risk-adjusted return, reflecting the average return earned in excess of the risk-free rate per unit of volatility.

    Standard Deviation

    as of 3/31/20
    Type 3 yr 5 yr
    Investor Class (HMSFX) 31.19 27.99
    Institutional Class (HMSIX) 31.21 28.01
    Alerian MLP Index 33.12 29.33
    Energy Limited Partnership Category Average 29.84 27.32

    Standard deviation is a statistical measure of the historical volatility of a mutual fund or portfolio.

    Fund Expenses

    • Investor Class (HMSFX)
      • Gross expense ratio

        1.89%

      • Net expense ratio

        1.76%

    • Institutional Class (HMSIX)
      • Gross expense ratio

        1.56%

      • Net expense ratio

        1.51%

    Performance data quoted represents past performance; past performance does not guarantee future results. The investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance of the fund may be lower or higher than the performance quoted.

    Morningstar Proprietary Ratings reflect risk-adjusted performance as of 3/31/20. The Morningstar Rating for funds, or "star rating", is calculated for managed products (including mutual funds, variable annuity and variable life subaccounts, exchange-traded funds, closed-end funds, and separate accounts) with at least a three-year history. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product's monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. The Overall Morningstar Rating for a managed product is derived from a weighted average of the performance figures associated with its three-, five-, and 10-year (if applicable) Morningstar Rating metrics. The weights are: 100% three-year rating for 36-59 months of total returns, 60% five-year rating/40% three-year rating for 60-119 months of total returns, and 50% 10-year rating/30% five-year rating/20% three-year rating for 120 or more months of total returns. While the 10-year overall star rating formula seems to give the most weight to the 10-year period, the most recent three-year period actually has the greatest impact because it is included in all three rating periods. among 83 and 75 Energy Limited Partnership Funds, respectively. Each share class is counted as a fraction of one fund within this scale and rated separately, which may cause slight variations in distribution percentage.

    The 10-year Morningstar Rating is an extended performance rating based on the historically adjusted returns prior to the inception date of the Institutional Class share class (12/31/13) and reflects the historical performance, fees, and expenses of the Investor share class.

    Each Morningstar category average represents a universe of funds with similar objectives. The Morningstar Style Box reveals the fund's investment style as of 3/31/20. The vertical axis shows the market capitalization of the stocks owned and the horizontal axis shows investment style (value, blend, or growth). ©Morningstar, Inc. All Rights Reserved. Past performance is no guarantee of future results.

    The Alerian MLP Index is a market capitalization-weighted index consisting of prominent energy Master Limited Partnerships (MLPs). The S&P 500® Index is an unmanaged index commonly used to measure the performance of U.S. stocks. One cannot invest directly in an index.

    The performance shown for periods on or prior to 10/26/18 is that of the predecessor BP Capital TwinLine MLP Fund.

    Distribution Rate reflects the investment income per share during the last 12 months divided by the share price at the end of the period, expressed as an annual percentage rate. It is calculated by annualizing the Fund’s most recent distribution. The annualized dividend yield may not reflect the actual yield an investor would receive. 30-Day SEC Yield is a standardized yield computed by dividing the net investment income per share earned during the past 30-day period by the share price at the end of the period, expressed as an annual percentage rate. The 30-Day SEC Yield should be regarded as an estimate of the Fund’s rate of recent investment income, and it may not equal the Fund’s actual distribution rate. Past yields are no guarantee of future yields. 30 day SEC Yield subsidized 0.00%; unsubsidized 0.00% as of 5/31/20. Subsidized yields reflect fee waivers in effect.

    A significant portion of the BP Midstream Fund's distributions to shareholders will be characterized as a "return of capital" because of its MLP investments. Please refer to the 19a-1 Notice sent to shareholders or Tax Forms 8937 for additional information regarding the composition of distributions. Final determination of a distribution’s tax character will be made on Form 1099 DIV sent to shareholders each year.

    The Fund's investment manager has contractually agreed to limit expenses until 02/28/2021.

    Fund holdings and sector allocations are subject to change and should not be considered a recommendation to buy or sell any security.

    References to other funds should not be interpreted as an offer of these securities.

    DOE refers to the Department of Energy. EIA refers to the U.S.Energy Information Administration. FERC refers to the Federal Energy Regulatory Commission.

  • Portfolio

    Portfolio Allocation

    as of 3/31/20
    Allocation % of Net Assets
    Natural Gas/NGL Transportation 57.3%
    Crude Oil and Refined Products 39.4%
    Gathering and Processing 2.2%

    Portfolio Characteristics

    as of 3/31/20
    Inception Date (HMSFX) 12/31/13
    Inception Date (HMSIX) 12/31/13
    Total Fund Assets $21 Million
    Active Share vs. Alerian MLP Index 37%
    Portfolio Turnover 45%
    Median Market Cap $10.3 Billion
    Median Price/Earnings 7.6x
    Median Price/Book 0.8x

    Price/Earnings measures a stock’s price per share compared to earnings. Price/Book measures a stock’s price per share to book value. Portfolio Turnover and Price/Earnings shown reflect the trailing 12-month period.

    Sector Weighting

    as of 3/31/20
    Fund
    Energy 98.9%
    Cash & Other 1.1%
    Sub-Industry Weighting % of Net Assets
    Oil & Gas Storage & Transportation 98.9%

    Portfolio Holdings

    Top 10 Holdings

    as of 3/31/20
    Top 10 Holdings Ticker % of Net Assets
    Enterprise Products Partners, LP EPD 13.8%
    Williams Companies, Inc. WMB 12.6%
    Energy Transfer LP ET 11.6%
    Kinder Morgan, Inc. KMI 9.8%
    MPLX, LP MPLX 9.6%
    Phillips 66 Partners, LP PSXP 9.5%
    Magellan Midstream Partners, LP MMP 8.9%
    Shell Midstream Partners, LP SHLX 6.8%
    ONEOK, Inc. OKE 4.7%
    Plains All American Pipeline, LP PAA 4.6%
    Total as % of Net Assets 91.7%

    Total Holdings: 14

    as of 3/31/20
    Equity Holdings Ticker % of Net Assets
    Enterprise Products Partners, LP EPD 13.8%
    Williams Companies, Inc. WMB 12.6%
    Energy Transfer LP ET 11.6%
    Kinder Morgan, Inc. KMI 9.8%
    MPLX, LP MPLX 9.6%
    Phillips 66 Partners, LP PSXP 9.5%
    Magellan Midstream Partners, LP MMP 8.9%
    Shell Midstream Partners, LP SHLX 6.8%
    ONEOK, Inc. OKE 4.7%
    Plains All American Pipeline, LP PAA 4.6%
    Cheniere Energy Partners, LP CQP 2.6%
    TC PipeLines LP TCP 2.2%
    Targa Resources Corp. TRGP 1.9%
    Crestwood Equity Partners LP CEQP 0.6%
    Total as % of Net Assets 98.9%
    Cash & Other Holdings % of Net Assets
    Cash & Other 1.1%
    Total as % of Net Assets 1.1%

    Country Allocation

    as of 3/31/20
    • United States

      98.9%

    • Cash & Other

      1.1%

    United States 98.9%
    Cash & Other 1.1%
  • Distributions

    The Hennessy BP Midstream Fund pays capital gains (if any) once annually, usually in December. Ordinary income distributions are paid quarterly, at the beginning of March, June, September, and December.

    Date Paid Income Short-Term Gain Long-Term Gain Total Per Share Reinvest Price
    06/01/2020 $0.25750 -- -- $0.25750 $7.26
    03/02/2020 $0.25750 -- -- $0.25750 $9.36
    12/02/2019 $0.25750 -- -- $0.25750 $10.24
    09/03/2019 $0.25750 -- -- $0.25750 $11.24
    06/03/2019 $0.25750 -- -- $0.25750 $11.96
    03/01/2019 $0.25750 -- -- $0.25750 $12.39
    12/03/2018 $0.25750 -- -- $0.25750 $12.55
    9/4/2018 $0.25750 -- -- $0.25750 $13.95
    6/1/2018 $0.25750 -- -- $0.25750 $13.74
    3/1/2018 $0.25750 -- -- $0.25750 $13.87
    12/1/2017 $0.25750 -- -- $0.25750 $14.46
    9/1/2017 $0.25750 -- -- $0.25750 $15.10
    6/1/2017 $0.25750 -- -- $0.25750 $15.94
    3/1/2017 $0.25750 -- -- $0.25750 $17.06
    12/1/2016 $0.25750 -- -- $0.25750 $16.01
    9/1/2016 $0.25750 -- -- $0.25750 $16.20
    6/1/2016 $0.25750 -- -- $0.25750 $15.72
    3/1/2016 $0.25750 -- -- $0.25750 $12.81
    12/1/2015 $0.25750 -- -- $0.25750 $14.93
    9/1/2015 $0.25750 -- -- $0.25750 $17.86
    6/1/2015 $0.25750 -- -- $0.25750 $21.68
    3/2/2015 $0.24000 -- -- $0.24000 $21.64
    12/1/2014 $0.24000 -- -- $0.24000 $21.39
    9/2/2014 $0.24000 -- -- $0.24000 $22.99
    6/2/2014 $0.08426 -- -- $0.08426 $22.15
    3/3/2014 $0.09566 -- -- $0.09566 $20.49

    Please swipe to view table

    Past performance is not a guarantee of future results.

    A significant portion of the BP Midstream Fund's distributions to shareholders will be characterized as a "return of capital" because of its MLP investments. Please refer to the 19a-1 Notice sent to shareholders or Tax Forms 8937 for additional information regarding the composition of distributions. Final determination of a distribution’s tax character will be made on Form 1099 DIV sent to shareholders each year.
    Download historical distributions and NAVs
    Date Paid Income Short-Term Gain Long-Term Gain Total Per Share Reinvest Price
    06/01/2020 $0.25750 -- -- $0.25750 $7.41
    03/02/2020 $0.25750 -- -- $0.25750 $9.54
    12/02/2019 $0.25750 -- -- $0.25750 $10.42
    09/03/2019 $0.25750 -- -- $0.25750 $11.43
    06/03/2019 $0.25750 -- -- $0.25750 $12.15
    03/01/2019 $0.25750 -- -- $0.25750 $12.58
    12/03/2018 $0.25750 -- -- $0.25750 $12.73
    9/4/2018 $0.25750 -- -- $0.25750 $14.13
    6/1/2018 $0.25750 -- -- $0.25750 $13.91
    3/1/2018 $0.25750 -- -- $0.25750 $14.03
    12/1/2017 $0.25750 -- -- $0.25750 $14.62
    9/1/2017 $0.25750 -- -- $0.25750 $15.25
    6/1/2017 $0.25750 -- -- $0.25750 $16.09
    3/1/2017 $0.25750 -- -- $0.25750 $17.21
    12/1/2016 $0.25750 -- -- $0.25750 $16.13
    9/1/2016 $0.25750 -- -- $0.25750 $16.32
    6/1/2016 $0.25750 -- -- $0.25750 $15.82
    3/1/2016 $0.25750 -- -- $0.25750 $12.88
    12/1/2015 $0.25750 -- -- $0.25750 $15.00
    9/1/2015 $0.25750 -- -- $0.25750 $17.92
    6/1/2015 $0.25750 -- -- $0.25750 $21.74
    3/2/2015 $0.24000 -- -- $0.24000 $21.69
    12/1/2014 $0.24000 -- -- $0.24000 $21.42
    9/2/2014 $0.24000 -- -- $0.24000 $23.01
    6/2/2014 $0.08787 -- -- $0.08787 $22.15
    3/3/2014 $0.10726 -- -- $0.10726 $20.49

    Please swipe to view table

    Past performance is not a guarantee of future results.

    A significant portion of the BP Midstream Fund's distributions to shareholders will be characterized as a "return of capital" because of its MLP investments. Please refer to the 19a-1 Notice sent to shareholders or Tax Forms 8937 for additional information regarding the composition of distributions. Final determination of a distribution’s tax character will be made on Form 1099 DIV sent to shareholders each year.
    Download historical distributions and NAVs
  • Fund Documents

    Download PDF View Online
    Fund Documents
    BP Midstream Fund Fact Sheet
    BP Midstream Fund Portfolio Perspective View
    Shareholder Reports
    BP Midstream Fund Summary Prospectus
    Full Prospectus
    Statement of Additional Information
    BP Midstream Fund Semi-Annual Report
    BP Midstream Annual Report