Business Challenge

Master Limited Partnerships (MLPs) have attractive yields, but are difficult to manage due to tax, liquidity and information issues.

Investment Rationale

Create a publicly-traded closed-end fund of MLPs that combines an attractive yield with improved liquidity characteristics.

Right Team

KCEP partnered with Fountain Capital to acquire capital markets skills and formed Tortoise Capital Advisors. Dave Schulte and Terry Matlack devote the majority of their time to this partnership.

Superior Results

In 2004, Tortoise Capital Advisors launched Tortoise Energy Infrastructure Corp. (TYG), a publicly-traded closed-end fund, which in combination with managed accounts has outperformed all benchmarks and has grown to over $1.7 billion under management in less than four years.