OPPENHEIMER STEELPATH MLP INCOME FUND

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1 STEELPATH MLP INCOME FUND MLPDX (A shares), MLPZX (Y shares), OSPMX (I shares) 1Q 2018 COMMENTARY AS OF 3/31/18 Oppenheimer SteelPath MLP Income Fund Class A, Y and I Shares Average Annual Total Returns as of 3/31/2018 1Q18 1-Year 3-Year 5-Year Since Inception Portfolio Managers Stuart Cartner Since 3/2010 Brian Watson, CFA Since 3/2010 Client Portfolio Managers Chuck Anderson Chad Potter, CFA Average Industry Experience 25 years Oppenheimer SteelPath MLP Income Fund (Class A shares without sales charge) 11.20% % % -4.40% 0.87% Oppenheimer SteelPath MLP Income Fund (Class A shares with sales charge) Oppenheimer SteelPath MLP Income Fund (Class Y shares) Oppenheimer SteelPath MLP Income Fund (Class I shares) N/A Alerian MLP Index Total Return (AMZ) S&P 500 Index Returns for periods of less than one year are cumulative and not annualized. Annual Expense Ratios: Class A Shares: Gross: 1.45, Net: 1.36, Net expense net of deferred Income tax expense: 1.36 Class Y Shares: Gross: 1.20, Net: 1.11, Net expense net of deferred income tax expense: 1.11 Class I Shares: Gross: 1.03, Net: 1.03, Net expense net of deferred income tax expense: 1.03 The performance data quoted represents past performance, which does not guarantee future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor s shares, when redeemed, may be worth more or less than the original cost. Current performance and expense ratios may be lower or higher than the data quoted. For performance data current to the most recent month-end, visit oppenheimerfunds.com or call CALL OPP ( ). Fund returns include changes in net asset value with dividends and capital gains reinvested. Class A and Y shares were launched 3/31/10. Class I shares were launched 6/28/13. Class A shares include the 5.75% maximum sales charge where indicated. Class Y and I shares are not subject to a sales charge. Returns do not consider capital gains or income taxes on an individual's investment. Generally, I shares are only available to institutional investors and can only be purchased with a $1 million initial investment. Y shares are not available to all investors. See prospectus for details. The net expense ratio reflects that the Advisor has contractually agreed to limit fees and/or reimburse expenses (excluding certain expenses) until at least 3/29/19, however, the Fund s Board of Trustees may terminate or amend this arrangement prior to that date. The Manager can be reimbursed by the Fund within three years after the date the limitation an/or expense reimbursement has been made by the Manager, provided that such repayment does not cause the expenses of any class of the Fund to exceed the limits described in the notes to the fee table in the prospectus. The net expense ratio is also net of deferred income tax expense, if applicable, which represents an estimate of the Fund s potential tax liability. This expense may vary from year to year. Because the Fund's deferred income tax expense is excluded from the expense cap, the Fund's net expense is increased by the amount of this expense. A change in the estimate of deferred tax liability could result in a loss to net asset value. The majority of distributions have been classified as return of capital which reduces the investor s adjusted cost basis. See the prospectus for details. OppenheimerFunds is not undertaking to provide impartial investment advice or to provide advice in a fiduciary capacity. Not FDIC Insured May Lose Value Not Bank Guaranteed

2 Market Overview For the first quarter of 2018, master limited partnerships (MLPs), as measured by the Alerian MLP Index (AMZ), were down 12.8% on a price basis and generated an 11.1% total return loss, or including the impact of distributions. For context, the broader market, as measured by the S&P 500, lost 1.2% on a price basis and 0.8% on a total return basis. Energy equities opened the quarter strong, extending the rally that began in the fourth quarter, however the trend sharply reversed in late January as the broader markets soured as investor anxiety over the potential impact of rising interest rates began to intensify. Midstream equities faced additional headwinds when the U.S. Federal Energy Regulatory Commission (FERC) announced changes related to pipeline tariffs in reaction to a federal court s previous remand that cost-of-service tariffs on interstate natural gas and oil pipelines owned by master limited partnership (MLPs) would no longer receive an income tax allowance (ITA). This shift in FERC s long-held position caused significant market confusion and volatility across the sector though we believe the ultimate outcome is likely far more nuanced and any revenue impact much less widespread than the initial market reaction. Most midstream subsectors experienced negative performance over the first quarter of On average, the Other and Gathering and Processing subsectors provided the best performance over the quarter, each of which had de minimus perceived impact from the aforementioned FERC ruling. Conversely, the Natural Gas Pipeline and Petroleum Pipeline subsectors generated the weakest returns as the FERC decision weighed heavily on subsector members. Fourth quarter midstream operating performance was reported during the period and was, on average, better than expectations with EBITDA, or Earnings Before Interest, Taxes, Depreciation and Amortization, coming in 3.0% higher than consensus estimates and 10.6% higher than the third quarter of Midstream entities announced 30 distribution increases and 40 distributions that were unchanged from the third quarter. Approximately $3.0 billion of new midstream equity was issued over the quarter via marketed transactions and we estimate an additional $1.0 to $2.0 billion was issued through at-the-market programs in which primary units trade into the market anonymously throughout the normal trading day. We estimate MLP-focused investment vehicles, including closed-end funds, open-end funds and index-linked products, experienced approximately $0.9 billion of inflows over the quarter. This imbalance of visible equity supply and demand likely partially contributed to the sector s relatively weak performance over the period. MLP capital investment over the quarter included approximately $3.7 billion of announced asset acquisitions and we estimate $5 to $6 billion of organic capital spending. New midstream project opportunities to alleviate localized capacity constraints, meet demand from new industrial capacity, and fulfill export demand remain abundant, particularly in premier basins such as the Permian, Midcontinent, and Appalachia as well as Gulf Coast port, refinery, and petrochemical facilities. West Texas Intermediate (WTI) crude oil priced at the Cushing hub ended the quarter at $64.94 per barrel, up 7% from the end of the fourth quarter and 28% higher than the year-ago period. The spread between Brent crude, a proxy for international crude prices, and WTI ended the quarter at $5.33 per barrel, remaining wider than recent normalized levels of $1 to $3 per barrel. The price differential between WTI and crude pricing along the Gulf Coast normalized during the quarter, while crude priced in Midland weakened relative to both WTI and the Gulf Coast, continuing to support midstream providers seeking to contract new capacity, principally from the Permian basin. Henry Hub natural gas spot prices ended the quarter at $2.81 per million British thermal units (MMbtu), down 32% from the end of the fourth quarter and 9% lower than the year ago period. Natural gas prices in the Permian basin (Waha) and Rockies weakened substantially over the quarter as winter cold subsided and as regional production increased, particularly from the Permian basin. Given the growth expectations for Permian sourced natural gas negative basis differentials are likely to persist thereby incenting new infrastructure construction. Natural gas liquids (NGL) priced at Mont Belvieu ended the quarter at $29.61 per barrel, down 10% from the end of the fourth quarter but 25% higher than the year-ago period. Ethane prices recovered over the period, as several ethane crackers returned to service after shut-ins caused by Hurricane Harvey. Frac spreads, a measure of natural gas processing economics, weakened over the quarter to settle at $0.46 per gallon, down 13% from the end of the fourth quarter but 57% higher than the year-ago period. Generally, the greater the frac spread, the greater the incentive for producers to seek natural gas processing capacity. 2

3 The backwardated structure (in which future prices are lower than near-term prices) of the crude oil futures curve steepened over the period as near-term pricing rose while longer-dated prices held steady. The near-to-medium term backwardation of the natural gas futures curve steepened slightly over the period as pricing for nearer-dated contracts rose and longer-dated prices declined. Generally, for any commodity, a backwardated futures market acts to deter storage by removing the ability for traders to purchase and store the commodity today to sell at a higher hedged price in the future. Generally, providers of storage services prefer a contango market (in which future prices are higher than near-term prices) and, therefore, market structure over the period became increasingly negative for contracting available crude storage, while remaining generally unfavorable for longerterm natural gas storage. Please note, though we routinely review the pricing environments for the major energy commodities in our commentaries, we do so primarily to provide investors a more nuanced understanding of the broader energy markets. However, we choose to seek to exploit the logistical needs surrounding these products primarily through energy infrastructure MLPs that we believe are not overly exposed to changes in these prices. Over the quarter, the ten-year U.S. Treasury Bond yield increased by 33 basis points to end the period at 2.74%. The MLP yield spread at quarter-end, as measured by the implied yield of the AMZ index relative to the 10-year Treasury, widened by 82 basis points to 6.17%. The longterm average (2000-1Q2018) spread is 3.64%, which continues to suggest that 10-year treasury rates could increase materially before this spread approached its historical average. At period-ending 3/31/18, the AMZ s indicated yield was 8.91%. Over the fourth quarter of 2017, REITs and utilities posted total returns losses of 8.2% and 3.4%, respectively, versus the AMZ s 11.1% loss. Price weakness for these yield-oriented sectors likely reflects the weakened interest rate environment over the period. Although MLPs are often associated with interest rates, given the yieldoriented return component, we believe energy market idiosyncrasies over the period continued to exert a stronger influence on midstream equities. We believe midstream equity valuations are attractive and sector participants have improved their positioning for the future. While the AMZ is above the cyclical low, it remains at levels present before the shale production renaissance. Notably, this is occurring at a time when many MLPs have reached or are approaching a self-funding level of retained cash flows and the industry s heaviest capital spending obligations appear to be in the past. So despite recent weakness, we believe the stage is setting for a realignment of business and equity fundamentals, positioning the sector well for long-term investors seeking an attractive blend of current income, moderate growth, and, presently, attractive valuations. 3

4 Performance Attribution The most significant contributors from first quarter performance included: 1. CSI Compressco LP (NYSE: CCLP) Contribution: 0.14% 5 CCLP outperformed over the period following solid fourth quarter results driven by increasing demand for compression due to rising natural gas volumes from the Permian and SCOOP/STACK basins. Continued strength in demand for compression services has driven increased asset utilization and price increases that are expected to further grow cash flow to reduce leverage and improve distribution coverage. 2. USA Compression LP (NYSE: USAC) Contribution: 0.08% 5 USAC outperformed over the period after reporting solid fourth quarter results, the acquisition of Energy Transfer Partner s compression business, and the elimination of the partnership s incentive distribution rights ( IDRs ). With the acquisition, which will double the company s compression fleet, USAC gained scale in the Eagle Ford shale, Gulf Coast, Rockies, and the Permian Basin. Further, continued strength in demand for compression services has driven increased asset utilization and price increases that are expected to grow cash flow further. 3. Archrock Partners LP (NYSE: APLP) Contribution: 0.06% 5 APLP units outperformed over the period after reporting solid fourth quarter results and plans to merge with its sponsor, ArchRock Inc. (AROC). Continued strength in demand for compression services has driven increased asset utilization and pricing increases that are expected to grow cash flow further. The most significant detractors from first quarter performance included: 1. Buckeye Partners LP (NYSE: BPL) Contribution: -1.35% 5 BPL underperformed over the period as market participants expressed heightened concerns related to storage recontracting and following FERC changes related to cost-of-service tariffs on interstate natural gas and liquids pipelines owned by master limited partnership (MLPs). BPL operates a portfolio of strategic, long-lived infrastructure assets that generates highly-stable, fee-based cash flows. Despite the recent headwinds, the partnership still maintains distribution coverage of approximately 1.0x, has manageable capital needs, and continues to find growth opportunities that enhance its core asset base. 2. NuStar Energy LP (NYSE: NS) Contribution: -1.32% 5 NS units underperformed over the period after announcing a simplification transaction that includes NS acquiring its general partner, NuStar GP Holdings (NSH), and plans to reduce the partnership s distribution. While the transaction was largely in-line with expectations, it came alongside reduced near-term growth guidance due to customer challenges with NS Caribbean terminal. NS maintains a diversified portfolio of crude gathering, crude and refined products pipelines and storage assets, and a well-position port facility in Corpus Christi that, collectively, are expected to benefit from long-term growth of crude oil production from the Permian basin, stable US refined products consumption, and rising export volumes of crude oil and refined products. 3. Enbridge Energy Partners LP (NYSE: EEP) Contribution: -1.04% 5 EEP underperformed over the period following FERC changes related to cost-of-service tariffs on interstate natural gas and liquids pipelines owned by master limited partnership (MLPs). EEP s asset base consists of a large network of crude oil pipelines in the U.S. and Canada that continue to exhibit strong throughput performance. Though cash flow will be negatively impacted by FERC actions, the company is expected to maintain distribution coverage above 1.0x. 4

5 Yields by Asset Class 10.00% 8.78% 9.00% 8.00% 7.00% 6.00% 4.64% 5.00% 4.19% 3.69% 4.00% 2.74% 3.00% 1.94% 2.00% 1.00% 0.00% AMZ REITs BBB Utilities S&P Yr Treasury Source: Bloomberg. Data as of March 31, 2018 and is calculated using the most recent annualized distribution. MLPs are represented by the AMZ Index. Real Estate Investment Trusts (REITs) are represented by the FTSE NAREIT Equity REIT Index. BBB Bonds (BBB) are represented by the U.S. Corporate Bond BBB yield. Utilities are represented by the Dow Jones Utilities Index. 10-Year Treasuries are represented by the U.S. Treasury Bond 10-year yield. S&P 500 Index is an unmanaged capitalization-weighted index of 500 stocks listed on various exchanges. Past performance does not guarantee future results. Top Ten Holdings by Issuer 5 1 st Quarter 2018 (as of 3/31/2018) Energy Transfer Partners LP 10.4% Sunoco LP 7.7 Genesis Energy LP 5.6 Buckeye Partners LP 5.0 Enlink Midstream Partners LP 4.8 DCP Midstream Partners LP 4.7 Crestwood Equity Partners LP 4.4 NuStar Energy LP 4.2 USA Compression Partners LP 4.1 NGL Energy Partners LP 3.8 Sector Attribution Analysis 5 1 st Quarter 2018 (as of 3/31/2018) MLP Income Fund Alerian MLP Index Attribution Analysis Average Weight Return Contribution to Return Average Weight Return Contribution to Return Sector Allocation Stock Selection Total Effect Coal Diversified Exploration & Production Gathering & Processing Natural Gas Pipelines Other Petroleum Transportation Propane Shipping Cash Totals Contribution to return is based on absolute stock performance in the portfolio. Attribution methodology notes: The analysis includes equity investments only and provides analysis of the effects of several portfolio management decisions, including allocation and security selection. All attribution effects are computed daily, linked through time, and do not reflect fees, expenses or transaction costs. The total returns displayed for the Fund and Benchmark do not capture the effect of daily cash flows and intra-day trading activity, and may be further impacted by pricing differentials, therefore they are subject to reasonable variance from the Fund s and the Benchmark s actual return. Past performance does not guarantee future results. 5

6 Sector Commentary Energy equities opened the quarter strong, extending the rally that began in the fourth quarter, however the trend sharply reversed in late January as the broader markets soured as investor anxiety over the potential impact of rising interest rates began to intensify. Midstream equities faced additional headwinds when the U.S. Federal Energy Regulatory Commission (FERC) announced changes related to pipeline tariffs in reaction to a federal court s previous remand that cost-of-service tariffs on interstate natural gas and oil pipelines owned by master limited partnership (MLPs) would no longer receive an income tax allowance (ITA). This shift in FERC s long-held position caused significant market confusion and volatility across the sector though we believe the ultimate outcome is likely far more nuanced and any revenue impact much less widespread than the initial market reaction. Outperformers Other partnerships outperformed the AMZ over the first quarter. The subsector s outperformance was largely driven by positive performance from partnerships focused on Compression services, where continued strength in demand has driven increased asset utilization and price increases that are expected to generate cash flow growth. Gathering and Processing partnerships generated negative total returns over the period but outperformed the group, on average, likely reflecting the de minimus perceived impact from the aforementioned FERC ruling. Underperformers Natural Gas Pipeline partnerships exhibited the weakest performance for the quarter as the U.S. Federal Energy Regulatory Commission (FERC) announced changes related to pipeline tariffs weighed heavily on certain subsector members. Petroleum Pipelines partnerships also lagged over the period as returns were also influenced by the FERC decision, albeit with longer-dated potential impact as tariffs changes for liquids pipelines are unlikely before

7 SPECIAL RISKS Investing in MLPs involves additional risks as compared to the risks of investing in common stock, including risks related to cash flow, dilution and voting rights. The Fund s investments are concentrated in the energy infrastructure industry with an emphasis on securities issued by MLPs, which may increase volatility. Energy infrastructure companies are subject to risks specific to the industry such as fluctuations in commodity prices, reduced volumes of natural gas or other energy commodities, environmental hazards, changes in the macroeconomic or the regulatory environment or extreme weather. MLPs may trade less frequently than larger companies due to their smaller capitalizations which may result in erratic price movement or difficulty in buying or selling. MLPs are subject to significant regulation and may be adversely affected by changes in the regulatory environment including the risk that an MLP could lose its tax status as a partnership. Additional management fees and other expenses are associated with investing in MLP funds. The Fund is subject to certain MLP tax risks. An investment in the Fund does not offer the same tax benefits of a direct investment in an MLP. The Fund is organized as a Subchapter C Corporation and is subject to U.S. federal income tax on taxable income at the currently effective statutory tax rate as well as state and local income taxes. The potential tax benefit of investing in MLPs depend on them being treated as partnerships for federal income tax purposes. If the MLP is deemed to be a corporation, its income would be subject to federal taxation at the entity level, reducing the amount of cash available for distribution which could result in a reduction of the fund s value. MLP funds may accrue deferred income taxes for future tax liabilities associated with the portion of MLP distributions considered to be a tax-deferred return of capital and for any net operating gains as well as capital appreciation of its investments. This deferred tax liability, if applicable, is reflected in the daily NAV and as a result a MLP fund's aftertax performance could differ significantly from the underlying assets even if the pre-tax performance is closely tracked. The Fund is classified as a non-diversified fund and may invest a greater portion of its assets in the securities of a single issuer. 7

8 DISCLOSURES Past performance does not guarantee future results. 1. The Alerian MLP Index is a float-adjusted, capitalization-weighted index measuring master limited partnerships, whose constituents represent approximately 85% of total float-adjusted market capitalization. Index performance is shown for illustrative purposes and does not predict or depict performance of the fund. The index is unmanaged and cannot be purchased directly by investors. 2. The S&P 500 Index is a capitalization-weighted index of 500 stocks intended to be a representative sample of leading companies in leading industries within the U.S. economy. Index includes reinvestment of dividends but does not include fees, expenses or taxes. Index performance is shown for illustrative purposes and does not predict or depict performance of the fund. The index is unmanaged and cannot be purchased directly by investors. 3. Source: Morningstar, Inc. 3/31/2018. The Morningstar Energy Limited Partnership Category Average is the average return of the mutual funds within the investment category as defined by Morningstar. Returns include the reinvestment of distributions but do not consider sales charges. The Morningstar Energy Limited Partnership Category Average is shown for illustrative purposes only and does not predict or depict the performance of the Fund. 4. Source: Morningstar, Inc., as of 3/31/2018. Morningstar ranking is for Class A shares and ranking may include more than one share class of funds in the category, including other share classes of this Fund. Ranking is based on total return as of 3/31/2018, without considering sales charges. Different share classes may have different expenses and performance characteristics. Fund rankings are subject to change monthly. The Fund s total-return percentile rank is relative to all funds that are in the Energy Limited Partnership category. The highest (or most favorable) percentile rank is 1 and the lowest (or least favorable) percentile rank is 100. The top performing fund in a category will always receive a rank of Holdings, sector and country allocations are subject to change, do not constitute recommendations by OFI SteelPath, Inc., and are dollar-weighted based on assets. Attribution analysis is a process used to analyze the absolute return (often called contribution) and the excess return (often called relative return) between a portfolio and its benchmark. The total effect measures both the allocation effect to a sector as well as stock selection within a sector. Shares of Oppenheimer funds are not deposits or obligations of any bank, are not guaranteed by any bank, are not insured by the FDIC or any other agency, and involve investment risks, including the possible loss of the principal amount invested. These views represent the opinions of OppenheimerFunds and are not intended as investment advice or to predict or depict the performance of any investment. These views are as of the close of business on March 31, 2018, and are subject to change based on subsequent developments. The Fund s portfolio and strategies are subject to change. Total returns do not show the effects of income taxes on an individual s investment. Taxes may reduce an investor s actual investment returns on income or gains paid by the Fund or any gains realized if the investor sells his/her shares. This material is provided for general and educational purposes only, is not intended to provide legal or tax advice, and is not for use to avoid penalties that may be imposed under U.S. federal tax laws. OppenheimerFunds is not undertaking to provide impartial investment advice or to provide advice in a fiduciary capacity. Contact your attorney or other advisor regarding your specific legal, investment or tax situation. Before investing in any of the Oppenheimer funds, investors should carefully consider a fund s investment objectives, risks, charges, and expenses. Fund prospectuses and summary prospectuses contain this and other information about the funds, and may be obtained by asking your financial advisor, visiting oppenheimerfunds.com or calling CALL OPP ( ). Read prospectuses and summary prospectuses carefully before investing. Oppenheimer funds are distributed by OppenheimerFunds Distributor, Inc. 225 Liberty Street, New York, NY OppenheimerFunds Distributor, Inc. All rights reserved. CO April 12,