Twenty-five years ago this month, the Hennessy Gas Utility Index Fund (GASFX) was established by the American Gas Association’s Finance Committee. During the past 25 years, GASFX has seen significant growth from $25 million in assets to $1.5 billion. Earnings per share and dividend returns have historically been between 3 and 5 percent and are now as high as 5 to 7 percent.
In this month’s cover story in American Gas magazine titled “Rational Exuberance,” portfolio managers and analysts discuss the current growth opportunity and how to increase investors’ interest. They emphasize the importance and urgency of modernizing and expanding infrastructure in order to help safely and reliably meet demand. Their message is to act now while abundant supply is keeping prices relatively stable and low, and their messages about the market align with what gas utilities are already doing.