Oil: A Once-in-a-Generation Investment Opportunity?

Contrarian fund managers are bullish on the outlook for oil companies. We run down the investment case and pick out a few stocks and funds to play the sector

David Brenchley 25 January, 2018 | 9:35AM

BP and Shell have high yields, but are they sustainable?

As the oil price continues its unlikely comeback, so too has the investment case for the commodity.

It’s billed by many as the ultimate contrarian call; a sector that is deeply unloved these days. But there may now be enough fund managers bullish on the prospects for oil and the companies involved in its production to dampen that claim somewhat.

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Securities Mentioned in Article

Security NamePriceChange (%)Morningstar
Rating
Aberdeen Standard Equity Inc Trust Ord399.51 GBP0.38
BP PLC456.85 GBP0.00
Cimarex Energy Co39.35 USD0.00
EdenTree Amity International B298.50 GBP-0.17
EOG Resources Inc74.92 USD0.00
Guinness Global Energy X8.02 GBP-1.61
HL Select UK Income Shares A Acc112.40 GBP0.53
iShares Core FTSE 100 ETF GBP Dist727.83 GBP-0.62
M&G Global Dividend GBP I Acc351.69 GBP-0.45
Orbis OEIC Global Balanced Standard14.70 GBP-0.25
PDC Energy Inc22.31 USD0.00
Pembina Pipeline Corp52.74 CAD0.00
Pioneer Natural Resources Co139.23 USD0.00
Royal Dutch Shell PLC B1,927.00 GBP0.00
Schlumberger Ltd34.42 USD0.00
Victrex PLC2,312.00 GBP0.00

About Author

David Brenchley

David Brenchley  is a Reporter for Morningstar.co.uk

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