North American Pipeline IndexSM (TNAP)
The Tortoise North American Pipeline IndexSM is a float-adjusted, capitalization-weighted index of pipeline companies headquartered in the United States and Canada. A pipeline company is defined as a company that either 1) has been assigned a standard industrial classification (“SIC”) system code that indicates the company operates in the energy pipeline industry or 2) has at least 50% of its assets, cash flow or revenue associated with the operation or ownership of energy pipelines.
Pipeline companies engage in the business of transporting natural gas, crude oil and refined products, storing, gathering and processing such gas, oil and products and local gas distribution. The index includes pipeline companies structured as corporations, limited liability companies and master limited partnerships (MLPs).
- Methodology Summary:
- Modified float-adjusted, market-capitalization weighting
- MLPs capped at 20%
- No single issuer greater than 7.5% and no affiliated MLP family greater than 15% in aggregate as of the rebalance reference date
- Key Eligibility Requirements:
- Classification as an energy pipeline company based on assets, cash flow, revenue or SIC code
- Market capitalization of $200 million
- Domicile in the United States or Canada and listed on the New York Stock Exchange, NASDAQ, NYSE MKT or Toronto Stock Exchange
- Must pay a distribution greater than or equal to their minimum quarterly distribution at time of index inclusion