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Master limited partnerships (MLPs) were once considered a quite obscure asset class. Most investors had never heard of the pipeline and infrastructure players before the recession. The tax structure was typically only owned by high-net-worth individuals and investors familiar with the energy industry. And then the Fed cut interest rates down to zero.

After that the sector was off to the races and became a go-to spot for anybody looking for yield. The number of MLPs exploded and everybody dove head first into the sector.

However, as the Fed reversed course on rates and oil prices crashed, MLPs were hit hard. Really hard. And they pretty much stayed in the basement and provided poor returns since 2014.

But the sector is starting to see some signs of life. Thanks to the simplification of transactions, rising M&A and better prospects, could the MLPs be worth a second look from investors seeking yield? The answer may be a resounding yes.

Check out our guide on MLPs here.

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