Retirees Are Missing Out: MLPA Delivers Nearly 8% Income From Infrastructure Giants Like Energy Transfer

"The Global X MLP ETF ( NYSEARCA:MLPA) offers exposure to energy infrastructure through master limited partnerships and delivers an extremely high 7.2% dividend yield today. The The Global X MLP ETF generates this income by holding equity positions in MLPs, which are pass-through entities that distribute most of their cash flow to unit holders. While these distributions are very similar to dividends, they are treated differently for accounting and tax purposes."

"Often, the income from MLPs can be overly complicated to own in a retirement fund, for example. And that's just one of the many interesting benefits of the Global X MLP ETF. Users benefit from the high distribution of MLPs (which are paid into the ETF), while investors receive dividends and avoid many of the complicating downsides. Neat. Evaluating the Top Holdings MLPA concentrates 58% of its portfolio in five energy infrastructure companies. Distribution safety varies across these positions."

MLPA provides exposure to energy infrastructure via master limited partnerships and yields 7.2% in dividends. The ETF holds equity positions in MLPs, which are pass-through entities that distribute most of their cash flow to unit holders. Distributions resemble dividends but receive different accounting and tax treatment. Income from MLPs can be complicated to hold inside retirement accounts. The ETF channels high MLP distributions to shareholders while paying dividends and avoiding many related tax and administrative complexities. The fund concentrates 58% of assets in five energy infrastructure companies. Distribution safety varies across the top holdings.

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