Welcome to this new board!
My hope is that you and I become WE. My wish is that each of us contributes as he/she can and is willing to become part of this newest example of IHUB fabric.
Admittedly it is early for me to moderate this board inasmuch as I first learned of it just a couple of weeks ago. Spurring my interest was learning that my positions in ALDW were about to enter a stage of absorption by its General Partner Delek (DK) I refer to as "the swallowing."
For several years I've been a unitholder in ALDW, an MLP whose majority interest fell off the charts in July of this year when its General Partner announced it was buying ALDW's General Partner. Last week it was disclosed by DK that ALDW assets would be dropping down into DKL's coffers. This told me that ALDW will be weakening herewith while DKL should prosper handily as recipient of proven assets inherited from ALDW.
Sometime in Q1 of the coming year (2018), the deal is expected to conclude with all of the former ALDW units swallowed without so much as a burp from one end or anything involving the other. There's considerable pain being voiced by unitholders of ALDW as it's been an immensely profitable journey for many of us if not all and we hardly look forward to saying adios.
It should be noted that I'm not yet sure DKL is a suitable investment for me. However, that shouldn't interfere with my ability to guide others fairly and justly. I'll certainly do my best.
At this time I have not yet launched any position in DKL. There are a few items I've got to examine more carefully before launch:
1. Volume is smaller than I like. This becomes extremely important not only when we look to sell units but also when we wish to accumulate. A low trading volume pick can put one heck of a squeeze on an active trader without notice. For example Say you wish to buy 600 units. That sort of volume would arouse interest right away. At this very moment there are 23 market makers vying for DKL units, the largest of which is looking for 1,200 units, the next largest is trying to get 200. This tells me that buyers know better than to reach for more than a hundred at a time or risk watching as their demand side explodes in their faces, rising with demand. The 1,200 order represents all NASD buyers aggregated and should not be regarded as a single buyer.
2. As it is on the buy side, so it is when selling. If you wanted to unload 600 units or a couple of thousand, your offer would guarantee your own demise as such large orders would wreck the auction.
Bottom line: This is a narrowly traded stock and may not fit your style. Unless DKL grows a larger pair of eggs, it may not be a good fit for me, either.
More to come, folks. Meanwhile, your input is as important as mine so by all means---have at it, please!
