"MLPs like Enterprise Products Partners generate revenue through volume throughput fees. When oil moves through a pipeline, the operator collects a tariff. Whether that barrel is worth $60 or $100 is largely irrelevant to the fee."
"EPD delivered record full-year 2025 adjusted cash flow from operations of $8.7 billion and has raised its distribution for 27 consecutive years, with the most recent quarterly payment at $0.55 per unit."
The Global X MLP ETF provides an alternative investment strategy during geopolitical tensions, particularly with the ongoing conflict with Iran affecting oil prices. Unlike crude producers, midstream infrastructure like pipelines generates revenue through volume fees, making it less sensitive to price fluctuations. The ETF has risen 11% year-to-date, benefiting from stable cash flows and consistent distributions from its largest holding, Enterprise Products Partners, which has a strong track record of financial performance and distribution increases.
Read at 24/7 Wall St.
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