Paul Tracy

There simply aren't many opportunities like this one. It's an energy investment, but it's a far cry from the oil "majors" such as ExxonMobil (NYSE: XOM) or Chevron (NYSE: CVX).

In fact, this is one of those investments I'd guess only one in 20 investors know about.

Let me explain...

Most energy investments you find on the New York Stock Exchange are actually pretty complex. They are companies that own land, wells, derricks and trucks. They have employees. They have to deal with spills, lawsuits and cleanups. That's a lot to handle and still pump out a profit.

Take Chevron, for example.
 
In a recent quarter, it generated $64 billion in revenue... but $52 billion of that went toward employee salaries, marketing campaigns, administrative overhead and other operating expenses.

And then Uncle Sam took $5.5 billion in corporate taxes.

That still left a respectable $7.7 billion in pure profit. But Chevron pumped the vast majority of that right back into the business to find and develop new sources of oil.

Chevron is a complex oil giant, but the company I'm going to tell you about is the exact opposite. It couldn't be any simpler... or more lucrative.

This stock -- SandRidge Mississippian Trust (NYSE: SDT) -- simply takes in royalties and then pays them out to investors.


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