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Old 03-08-2014, 08:54 PM   #1
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MLP'S

They look very tempting..Pros and cons
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Old 03-08-2014, 09:17 PM   #2
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They look very tempting..Pros and cons
You are a little late to the party as they all had big runs in the last few years. My only piece of advice is to invest in those who have oil and gas midstream assets and stay away of production-based MLPs. Here is a good site to spend time on:

MLP DATA
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Old 03-08-2014, 09:24 PM   #3
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You are a little late to the party as they all had big runs in the last few years. My only piece of advice is to invest in those who have oil and gas midstream assets and stay away of production-based MLPs. Here is a good site to spend time on:

MLP DATA
Thanks..Looks like a lot to digest!
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Old 03-08-2014, 09:47 PM   #4
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[QUOTE=aja8888;1424897]You are a little late to the party

That's the way I feel about the stock market.. I would think that a big drop in stocks would not necessarily see an equal drop in MLP'S..Would you agree or disagree?
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Old 03-08-2014, 09:54 PM   #5
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With MLPs, beware of tedious (and late) K-1 forms come tax time.
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Old 03-08-2014, 10:34 PM   #6
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With MLPs, beware of tedious (and late) K-1 forms come tax time.
Actually, mine came in February of this year rather than much later which has been the rule. Maybe the GP's are getting better at this.

Also, I had minimal time invested in importing them into Turbo Tax since the GPs provided TT files for importing. Very simple process this year.
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Old 03-08-2014, 10:36 PM   #7
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[QUOTE=lawman;1424908]
Quote:
Originally Posted by aja8888 View Post
You are a little late to the party

That's the way I feel about the stock market.. I would think that a big drop in stocks would not necessarily see an equal drop in MLP'S..Would you agree or disagree?
I Can't comment as there are different flavors of MLPs these days and I stick with only midstream oil and gas ones, and only the top rated, like EPD, MMP, KMP, etc.
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Old 03-08-2014, 10:58 PM   #8
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There is a pretty high correlation between MLPs and stock market, they are a bit like junk bonds react to both the stock market, and interest rates, as well as the energy market.

I currently own six MLPs, K1 are a bit of pain but after the 1st year or two, TurboTaxes makes it pretty easy to fill them out. I'd just count on filling an extension every year it makes easier than sweating the changes.

The biggest Kinder Morgan (KMP, KMI,and KMR) has had a bunch (negative) news lately, I think they offer good value and reasonable safety, I am also fan of MMP, and APU.
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Old 04-28-2014, 06:02 PM   #9
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I've been keeping an eye on MLPY and noticed it is currently trading at a 18 bps discount where it more frequently trades at a premium.

Also see: http://www.morganstanley.com/institu...pdf?v=04312013

Seems a tradeoff of 85 bps for avoiding the K-1 hassle.

Do any of you MLP experts own this? Thoughts?
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Old 04-28-2014, 11:17 PM   #10
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As for Cons I like GEO
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Old 04-29-2014, 07:11 AM   #11
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The K-1 forms are easy. Just transfer/import into the tax software. Just be careful if you want to sell the MLP shares: "The unexpected consequence of owning an MLP that performs too well for too long."

Tax Guide To Master Limited Partnerships - Forbes
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Old 04-29-2014, 11:51 AM   #12
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The K-1 forms are easy. Just transfer/import into the tax software. Just be careful if you want to sell the MLP shares: "The unexpected consequence of owning an MLP that performs too well for too long."

Tax Guide To Master Limited Partnerships - Forbes
Excellent article. Thanks for posting.

Ha
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