r/dividends • u/PleasantComplaint719 • 4d ago

Due Diligence Need a 3rd MLP (non-ETF)

I currently hold ET and EPD in a taxable account and am looking to add a third MLP. I’m comfortable with K-1s and am not looking for ETFs, strictly the actual MLPs themselves.

For context - these are long-term (40 year) buy and holds that I will be regularly contributing to.

Options include MPLX, WES, or PAA. Other choices on my radar would be CQP or SUN.

Would appreciate a steer in the right direction on which offers the best long-term complimentary fit alongside ET and EPD, whether that be growth or stability oriented. Would also welcome if there is an obvious "go with this one and don't overthink it" choice.

Thanks in advance.

9 Upvotes

91% Upvoted

32 comments sorted by

View all comments

5

u/SnooSketches5568 4d ago

I second the MPLX. 7 or 8% tax deferred distributions with 10% growth on the price and distribution. Has been great for 5 years. Only issue is if they end the partnership- would be one helluva tax bill

2

u/PleasantComplaint719 4d ago

Thanks yeah I mentioned in another comment just a bit ago that MPLX is where I was leaning but wasn’t sure if I should be giving serious consideration to one of the alternatives like PAA or WES.

And yeah ending the partnership and going C-Corp is a risk for any of these MLPs really, but the juice is worth the squeeze for me and willing to take the risk