MLPs Provide Income During Volatility

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"MLPs combine the tax structure of limited partnerships with the liquidity of publicly traded securities, and are not sensitive to price fluctuations except where they affect demand."

Seeking Alpha, Zvi Bar

A Master Limited Partnership (MLP) is a type of partnership that is publicly traded on a securities exchange. MLPs combine the tax structure of limited partnerships with the liquidity of publicly traded securities. Usually, private partnerships are relatively illiquid compared to public equities.

Most MLPs are publicly traded oil and gas pipeline businesses that earn stable income from the transport of oil, gasoline and/or natural gas. Many derive their revenue based on the amount of product transported and are not sensitive to price fluctuations except where they affect demand. Some MLPs involve other natural resources, and certain other industries, but oil and gas are the most common. . .View full article

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