ClearBridge MLP and Midstream Total Return Fund Inc. Announces Unaudited Balance Sheet Information as of February 29, 2024

Rhea-AI Summary

ClearBridge MLP and Midstream Total Return Fund Inc. (NYSE: CTR) reported its financial data as of February 29, 2024, with net assets of $287.9 million and a net asset value per share of $41.80. The Fund's asset coverage ratio for senior indebtedness was 437% and for total leverage was 360%. Top ten equity holdings included Energy Transfer LP, ONEOK Inc., and Targa Resources Corp.

Insights

Financial Analyst

The reported net asset value (NAV) per share of $41.80 for ClearBridge MLP and Midstream Total Return Fund Inc. (CTR) is a critical indicator for investors assessing the current value of their investments relative to the market price of the shares. The NAV is calculated by subtracting liabilities from the total assets and dividing by the number of outstanding shares, offering a per-share value of the fund's underlying assets. A high NAV can signify a well-managed fund with valuable assets, which could attract investors seeking solid investment opportunities in the midstream energy sector.

The asset coverage ratios reported exceed the minimum 300% coverage required by the 1940 Act for senior securities, indicating a robust buffer against potential market downturns and a lower risk of default on debt obligations. This can reassure investors about the fund's financial health and its ability to meet debt commitments without liquidating assets at unfavorable prices. Such financial stability is particularly important in the volatile energy sector, where midstream companies are subject to fluctuating commodity prices and regulatory changes.

Market Research Analyst

Analyzing the top ten equity holdings, which constitute 70.5% of the fund's total equity investments, provides insight into the fund's concentration risk and sector exposure. The significant positions in companies like Energy Transfer LP and ONEOK Inc. reflect a strategic focus on key players within the midstream energy sector. This concentration in midstream operations, which involve the transportation, storage and wholesale marketing of crude oil, natural gas and refined products, could be advantageous given the essential nature of these services in the energy supply chain.

However, the fund's performance is closely tied to the health of the energy sector and the stability of energy commodity prices. Investors should note that while midstream companies often have more stable cash flows due to fee-based revenue models, they are not entirely immune to the risks associated with energy market volatility. The fund's performance is likely to be influenced by factors such as energy demand, regulatory changes and shifts in the global energy market.

Legal Expert

The disclosure of financial data in compliance with the Securities and Exchange Commission (SEC) regulations, including the filing of reports on Form N-PORT, is an essential aspect of transparency and legal compliance for investment companies. The adherence to these reporting standards is a positive indicator of the fund's commitment to regulatory requirements, which can build investor trust. The fund's compliance with the 1940 Act regarding asset coverage ratios further underscores its adherence to legal and financial regulations that protect investors' interests.

Investors should be aware that the unaudited nature of the financial data warrants cautious interpretation until verified by an audit. The audit process is a crucial step in ensuring the accuracy of financial statements and the release of audited financials can provide a more definitive basis for investment decisions.

NEW YORK--(BUSINESS WIRE)-- ClearBridge MLP and Midstream Total Return Fund Inc. (NYSE: CTR) announced today the unaudited statement of assets and liabilities, the net asset value and asset coverage ratio of the Fund as of February 29, 2024.

As of February 29, 2024, the Fund’s net assets were $287.9 million, and its net asset value per share was $41.80. The Fund’s asset coverage ratio under the Investment Company Act of 1940 (the “1940 Act”) with respect to senior indebtedness was 437% and the Fund’s asset coverage ratio under the 1940 Act with respect to total leverage was 360%.

	As of February 29, 2024
	Amount (millions)			Per Share
Investments	$	399.1		$	57.95
Cash and Cash Equivalents		5.3			0.77
Other Assets		10.5			1.52
Total Assets	$	414.9		$	60.24
Senior Notes*	$	15.6		$	2.27
Loans Outstanding*		75.5			10.96
Mandatory Redeemable Preferred Shares*		19.5			2.83
Total Leverage	$	110.6		$	16.06
Income Tax Payable †	$	4.4		$	0.64
Deferred Tax Liability		1.4			0.20
Other Liabilities		10.6			1.54
Total Liabilities	$	16.4		$	2.38
Net Assets	$	287.9		$	41.80
Outstanding Shares		6,886,833
* The Fund's asset coverage ratio under the 1940 Act with respect to senior indebtedness was 437%.
* The Fund's asset coverage ratio under the 1940 Act with respect to total leverage was 360%.
† Income tax payable, previously netted in Other Liabilities, resulted from portfolio turnover.
Top Ten Equity Holdings (as of February 29, 2024)**
	Market Value
Name	(millions)			% of Investments			***
Energy Transfer LP	$	46.9			11.7	%
ONEOK Inc.	$	35.0			8.8	%
Targa Resources Corp.	$	32.0			8.0	%
MPLX LP	$	29.7			7.4	%
Western Midstream Partners LP	$	29.7			7.4	%
Enterprise Products Partners LP	$	26.4			6.6	%
Williams Cos. Inc.	$	22.4			5.6	%
Enbridge Inc.	$	20.5			5.1	%
Plains All American Pipeline LP	$	20.5			5.1	%
Plains GP Holdings LP	$	19.3			4.8	%
	$	282.4			70.5	%
** Subject to change at any time
*** Percent of Total Equity Investments

ClearBridge MLP and Midstream Total Return Fund Inc. is a non-diversified, closed-end management investment company, which is advised by Franklin Templeton Fund Adviser, LLC (“FTFA”) (formerly known as Legg Mason Partners Fund Advisor, LLC) and subadvised by ClearBridge Investments, LLC (“ClearBridge”). FTFA and ClearBridge are indirect, wholly-owned subsidiaries of Franklin Resources, Inc. (“Franklin Resources”).

This financial data is unaudited.

The Fund files its semi-annual and annual reports with the Securities and Exchange Commission (“SEC”), as well as its complete schedule of portfolio holdings for the first and third quarters of each fiscal year as an exhibit to its reports on Form N-PORT. These reports are available on the SEC’s website at www.sec.gov. To obtain information on Form N-PORT or a semi-annual or annual report from the Fund, shareholders can call 1-888-777-0102.

For more information about the Fund, please call 1-888-777-0102 or consult the Fund’s website at www.franklintempleton.com/investments/options/closed-end-funds. Hard copies of the Fund’s complete audited financial statements are available free of charge upon request.

Data and commentary provided in this press release are for informational purposes only. Franklin Resources and its affiliates do not engage in selling shares of the Fund.

Category: Financials

Source: Franklin Resources, Inc.

Source: Legg Mason Closed End Funds

View source version on businesswire.com: https://www.businesswire.com/news/home/20240307442376/en/

Investors: Fund Investor Services 1-888-777-0102

Source: Franklin Resources, Inc. and Legg Mason Closed End Funds

FAQ

What is ClearBridge MLP and Midstream Total Return Fund Inc.'s (NYSE: CTR) net asset value per share as of February 29, 2024?

The net asset value per share was $41.80.

What is ClearBridge MLP and Midstream Total Return Fund Inc.'s (NYSE: CTR) asset coverage ratio for senior indebtedness as of February 29, 2024?

The asset coverage ratio for senior indebtedness was 437%.

What are the top three equity holdings of ClearBridge MLP and Midstream Total Return Fund Inc. (NYSE: CTR) as of February 29, 2024?

The top three equity holdings were Energy Transfer LP, ONEOK Inc., and Targa Resources Corp.

Who advises ClearBridge MLP and Midstream Total Return Fund Inc. (NYSE: CTR)?

The Fund is advised by Franklin Templeton Fund Adviser, LLC and subadvised by ClearBridge Investments, LLC.

Where can shareholders access ClearBridge MLP and Midstream Total Return Fund Inc.'s (NYSE: CTR) reports and portfolio holdings?

Shareholders can access the Fund's reports and portfolio holdings on the SEC's website at www.sec.gov or by calling 1-888-777-0102.