Investing Topics: Incentive Distribution Rights

Enterprise Products Partners LP: Great Company, Not a Great Stock

By Elliott H. Gue on Aug. 6, 2014

Enterprise Products Partners LP boasts one of the strongest balance sheets and growth prospects in the MLP universe. However, a frothy valuation means that investors should stand aside and wait for a pullback before adding to or establishing a position in the name.

Memorial Resource Development Corp: Half a General Partner

By Elliott H. Gue on Jul. 25, 2014

Besides its exploration and production operations, Memorial Resource Development Corp also owns a 50 percent interest in Memorial Production Partners LP’s incentive distribution rights, a management fee that a MLP pays to its general partner.

Enbridge Energy Partners LP Gets a Little Help from Its Friend

By Roger S. Conrad on Jun. 21, 2014

We examine the complicated world of incentive distribution rights and why the recent restructuring of Enbridge Energy Partners LP’s partnership agreement is such a big deal.

General Appeal

By Roger S. Conrad on Dec. 24, 2013

Forget options and trading on margin. Buying a master limited partnership’s general partner is the best way to spice up your portfolio’s returns–especially in a strong year for equities.

The Lowdown on MLP IDRs: Incentive or Impediment?

By Elliott H. Gue on Sep. 13, 2013

Prospective investors in a master limited partnership (MLP) must understand how much the general partner receives in incentive distribution rights and the extent to which this cut inhibits or promotes the limited partners’ distribution growth.

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