The next type of investment an investor might want to consider is both sexy and dangerous at the same time...
At the time of this posting I do not own any MLPs in the Model Portfolio or elsewhere. For me the complexity and risk is too great and I have been reading and following MLPs for years. But that 8%+ yield sure is tempting isn't it? I strongly encourage talking to a tax adviser (which I am definitely not) before investing in MLPs.
On the other hand don't let me paint the picture that investing in master limited partnerships is bad. Its perfectly legal and quite profitable but as I discuss in the video: its more complex then just picking up some shares of JNJ or KO.
IRS coverage of UBTI : http://www.irs.gov/pub/irs-pdf/p598.pdf
Disclaimer: The investments and trades in my videos and blog entries are not recommendations for others. I am not a financial planner, financial advisor, accountant, or tax adviser. The financial actions I talk about are for my own portfolio and money and only suited for my own risk tolerance, strategy, and ideas. Copying another person's financial moves can lead to large losses. Each person needs to do their due diligence in researching and planning their own actions in the financial markets.
EDIT: At the time this blog entry was posted I had a Youtube video here. That has been removed but I want the rest of my content to be remain. Nothing hidden no past mistakes ignored. All out in the open.
At the time of this posting I do not own any MLPs in the Model Portfolio or elsewhere. For me the complexity and risk is too great and I have been reading and following MLPs for years. But that 8%+ yield sure is tempting isn't it? I strongly encourage talking to a tax adviser (which I am definitely not) before investing in MLPs.
On the other hand don't let me paint the picture that investing in master limited partnerships is bad. Its perfectly legal and quite profitable but as I discuss in the video: its more complex then just picking up some shares of JNJ or KO.
IRS coverage of UBTI : http://www.irs.gov/pub/irs-pdf/p598.pdf
Disclaimer: The investments and trades in my videos and blog entries are not recommendations for others. I am not a financial planner, financial advisor, accountant, or tax adviser. The financial actions I talk about are for my own portfolio and money and only suited for my own risk tolerance, strategy, and ideas. Copying another person's financial moves can lead to large losses. Each person needs to do their due diligence in researching and planning their own actions in the financial markets.
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