KOL was recommended by The Cash Cow at $34.07 in Investment Digest issue 710, dated January 4, 2012. KOL closed yesterday at $33.64.
“Our coal-focused position, Market Vectors Coal ETF (KOL), has been under pressure. Natural gas prices remain in the cellar due to robust shale gas production and an unusually mild winter, making it increasingly more attractive (not to mention abundantly cleaner) than coal as the fuel of choice for electricity generation.
“We do not want to risk getting behind the curve with this one; given that the outlook is for natural gas to remain plentiful and cheap for the foreseeable future, we think KOL, with its leverage to coal producers, will struggle to make headway at this time. Accordingly, we are selling KOL, with an eye for a re-entry point in the future.”
- Steven Lord, The Cash Cow, March 15, 2012