VBIN's oil stock thread.

[fenders53]

(11-11-2020, 09:09 AM)EricL Wrote:

(11-11-2020, 02:51 AM)vbin Wrote:

(11-10-2020, 10:11 AM)EricL Wrote: Here's a new oil market analysis from one of the research firms I follow:



Well worth a read for those considering energy.

Eric, Thank you so much for sharing. Very interesting read. What oil stocks or ETFs are you looking at? How are you planning to invest in oil? I checked out your website but did not see anything specific to current events with oil.

I'm pretty boring with my investments, as I hold CVX, EOG, KMI, and XOM in my DGI account. Also own ENB and OKE in another account, and EGY for a speculative position. For my DGI account, energy is currently a 5.6% weighting, you can see how much of each position I hold about 3/4 of the way down this page.

I don't follow ETF's much, but just looking at the top holdings of XLE, I think that would be a reasonable approach, as CVX/XOM/KMI/EOG represent about 50% of the assets.

I'm not a huge ETF fan, but this one of those times I could get onboard with XLE for a couple reasons.  The strongest players dominate it and the sector is down pretty hard.  Not saying any of those top holding are cutting their Div, but the sky is still a little black and and if they cut those individual stocks would get whacked hard.  VBIN already owns a fair amount of XOM and some diversification within the sector makes a lot of sense to me.  If all is well soon, the ETF will do well enough vs the majors.