Master Limited Partnerships (MLPs): A Great Long Term Investment for All Demystified
When investing, many people overlook Master Limited Partnerships, which are commonly referred to MLPs. Master Limited Partnerships are limited partnerships that are publicly traded on the stock market. In a MLP structure, the Limited Partner receives distributions from the company's cash flow, while a general partner receives compensation linked to the performance of the company for managing it. To be categorized as an MLP, the company must mainly earn cash flow from commodities, natural resources, and real estate.
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Michael Krieger has expertise in business analysis and finance.