Magellan: Top-Tier MLP, Attractive Risk-Adjusted Yield, And The Dangers Of Indexing

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About: Magellan Midstream Partners, L.P. (MMP), Includes: AMLP, EPD, PSXP, VLO
by: Williams Equity Research
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Williams Equity Research
Long/short equity, special situations, dividend investing, oil & gas
Summary

MLPs are currently a modest 7.50% of the Institutional Income Plus portfolio. Magellan earns the highest weight within that allocation.

We'll outline why Megallan is not only an attractive company but is also attractively priced.

In line with WER's standard practice, we incorporate education into our first MLP-focused article with the goal that you'll be a little wiser in this area than yesterday.

This will include key aspects of MLP analysis and taxation.

Source: Company website

We all know happened to crude oil prices in 2014 and the resulting bankruptcy of a slew of master limited partnerships ("MLPs"), service providers, and upstream oriented energy companies. To start, let's