Top Closed-End Funds Sniff Out Energy Bets

Some of the leading closed-end funds returned as much as 13% in August, with four of the top 10 exposed to the energy sector in one form or another. All this with a pullback in the price of oil.

The key seems to be non-diversification -- that is, focus on a few quality companies. For the top three funds, 50% to 60% of total assets are invested in their top 10 holdings.

The funds also share many common stock holdings.

The top holdings common to all three funds include Kinder Morgan Management (KMR Quote), Enterprise Products Partners LP(EPD Quote), Plains All American Pipeline LP(PAA Quote) and Energy Transfer Partners(ETP Quote).

The top funds follow below.

TITLE SUB
Fund	TICKER	Category	Premium/Discount	1 Month Return (%)
Tortoise Energy Capital	TYY	Sector - Energy/Natural Res	7.66	13.68
First Trust Energy Income&Growth	FEN	Sector - Energy/Natural Res	3.80	12.38
Tortoise Energy Infrastr Corp	TYG	Sector - Energy/Natural Res	10.78	10.47
Tortoise North American Energy	TYN	Sector - Energy/Natural Res	-14.65	9.46
Eagle Capital Growth Fund	GRF	Growth - Domestic	-8.51	9.23
MLP & Strategic Equity Fund Inc.	MTP	Sector - Energy/Natural Res	-2.47	8.83
PIMCO Strategic Glob Gov Fund	RCS	General Mortgage	16.41	8.54
Western Asset Emerg Mkts Fltg	EFL	Emerging Market Income	29.25	8.52
J Hancock Preferred Income III	HPS	Equity Income	-1.49	7.40
Eaton Vance Insured MA Muni Bond	MAB	Municipal Single State	5.13	7.40
Source: INSERT SOURCE