In 2007, MLPs were coming off a long advance taking the Alerian MLP Index to a record 342.14 on July 13. Then the index drifted lower for more than a year (along with the stock market) until the fall of 2008 when just about all securities plunged with the Lehman collapse. On November 21, the index reached its low of 152.68. Then it rebounded and fell back three months later, but the low held. From there the index marched forward with only a few setbacks. On October 5, 2010, the index went over 343, setting a new record, but selling in the last hour took the index down and the index failed to close at a new record. Yesterday, October 6, left no doubt. The index blasted through to a new record of 344.08!

While it was climbing, two other major groups also reached records. Gold has been hot all year, rising to new record levels in the 1340s (with intra day highs over 1350). Treasuries are also attracting a lot of buying. The annual yield on the 2 year Treasury note just fell to a record low of 0.38%. The yield on the 10 year Treasury bond is 2.40%, not far from the record lows reached in January 2009. It's difficult to reconcile how MLPs with business risk and safe haven securities can reach records simultaneously.