Finding Value In Spin-offs

Some of the best trades during the past few years have been spin-offs. Of course, I’m taking about deals like Kraft Foods Group Inc (NASDAQ:KRFT) / Mondelez International Inc (NASDAQ:MDLZ) and ConocoPhillips (NYSE:COP) / Phillips 66 (NYSE:PSX) both of which have continued to achieve record performances year-to-date. What’s more, there are a number of spin-offs upcoming during 2014, which have the potential to put in a similar impressive performance. DuPont plans to spin-off its chemicals division DuPont Fabros Technology, Inc. (NYSE:DFT)’s planned spin-off of its performance chemicals division is likely to attract some traders. However, this is an industry that…