MLPA ETF Review: Is Global X MLP ETF Worth Buying?

Global X MLP ETF offers an alternative to AMLP for high-yield midstream pipeline exposure, with a similar portfolio of energy infrastructure partnerships but a different fund structure that may offer tax efficiency advantages for certain investors.

Last updated: 2026-02-02 · Data: Yahoo Finance, fund prospectuses, SEC filings

What Is MLPA?

The Global X MLP ETF provides exposure to master limited partnerships focused on energy infrastructure—the pipelines, storage facilities, and processing plants that move oil, gas, and refined products across America. Managed by Global X, the fund tracks the Solactive MLP Infrastructure Index, targeting MLPs that generate stable cash flows from fee-based operations rather than commodity price swings.

Key Stats: 0.45% expense ratio, $1.85B AUM, launched in 2013.

Current Snapshot

Why It Matters for Real Asset Investors

MLPA sits squarely in the tollbooth asset category of our framework. These aren't oil companies—they're the infrastructure owners charging fees every time energy moves through their systems. When electricity demand surges from AI data centers or manufacturing reshoring, that power has to come from somewhere and get delivered somehow. MLPs own those critical delivery systems.

The 7.83% yield isn't just attractive income—it's a signal of cash flow stability. Pipeline companies generate revenue from long-term contracts with creditworthy counterparties, not volatile commodity prices. During the 2022 energy crisis, while oil stocks swung wildly, MLP cash flows stayed remarkably steady because their customers still needed to move product regardless of price.

But MLPs shine brightest during specific regimes: falling interest rates (making their yields more attractive), infrastructure bottlenecks (driving volume growth), and periods when energy security matters more than just cost. They struggle when growth capital becomes expensive or when renewable transition fears peak.

Top Holdings

Energy Transfer (ET, 13.0%) - The second-largest pipeline company in North America, moving natural gas from Texas shale plays to demand centers. Benefits from LNG export growth and power generation switching from coal to gas.

Enterprise Products Partners (EPD, 12.7%) - The gold standard of MLPs, with integrated midstream operations across crude oil, natural gas, and petrochemicals. Strongest balance sheet in the sector.

MPLX (11.9%) - Marathon Petroleum's midstream arm, providing gathering, processing, and transportation services primarily in the Permian and Marcellus basins.

Western Midstream Partners (WES, 10.6%) - Focused on Permian Basin gathering and processing, with long-term contracts tied to major producers like Occidental Petroleum.

Plains All American Pipeline (PAA, 10.0%) - Crude oil pipeline network connecting production areas to refineries and export terminals along the Gulf Coast.

How It Fits the Portfolio

MLPA works as a 3-5% allocation within the infrastructure sleeve of a real asset portfolio. It pairs well with utilities and energy storage investments, creating a complete energy delivery ecosystem exposure. The key timing signal is the rate cycle—MLPs typically outperform when the Fed pivots from tightening to easing, as their yields become more attractive relative to risk-free alternatives.

I'm watching for entry points during broader market stress when MLP yields spike above 8-9%, creating compelling risk-adjusted returns. The fund works best alongside defensive infrastructure positions, not as a standalone energy bet.

Regime Signals

MLPA outperforms during three key scenarios: falling interest rate environments (yield appeal), infrastructure capacity constraints (volume growth), and energy security concerns (strategic value recognition). The fund struggles during aggressive Fed tightening cycles and periods of peak renewable transition optimism when fossil fuel infrastructure appears stranded.

Watch for quarterly distribution coverage ratios above 1.2x and debt-to-EBITDA ratios below 4.5x across holdings—these signal healthy cash flow sustainability. Strong performance often follows energy infrastructure spending announcements or LNG export facility approvals.

Related Research

• Alabama Power Grid Risk Assessment
• Kinder Morgan (KMI) Tollbooth Analysis
• AMLP: Alerian MLP ETF
• Enterprise Products Partners (EPD) Tollbooth Analysis
• Consolidated Edison (ED) Tollbooth Analysis

Frequently Asked Questions

How does MLPA compare to AMLP?

MLPA and AMLP hold very similar portfolios of midstream MLPs — the top holdings overlap significantly. The primary differences are fund structure, expense ratio, and AUM. AMLP is larger and more liquid, but both provide comparable yield and performance. Investors should compare the after-tax returns in their specific tax situation, as the C-corp structures of both funds create different tax implications than standard ETFs.

What is the dividend yield of MLPA?

MLPA typically yields 7-9%, similar to AMLP, reflecting the high-distribution nature of the underlying MLP holdings. Pipeline MLPs generate stable, fee-based cash flows from long-term transport contracts, enabling consistently high payouts. The yield fluctuates with the fund's share price — when prices decline, yields rise, often creating attractive entry points for income investors.

What is the expense ratio of MLPA?

MLPA charges a 0.45% expense ratio, which appears lower than AMLP's 0.85%. However, both funds are structured as C-corporations that pay corporate taxes on gains, which creates an additional implicit cost not reflected in the stated expense ratio. Investors should compare total cost of ownership including tax drag rather than headline expense ratios alone.

Is MLPA a good income investment?

MLPA is an effective income vehicle for investors seeking high current yield from energy infrastructure. The underlying MLPs have improved balance sheets and distribution coverage since the 2020 downturn, and growing LNG export and data center power demand support volume growth through the pipeline network. The main risks are energy demand decline, regulatory changes affecting pipelines, and the inherent tax complexity of MLP fund structures.

For our complete allocation framework across real assets, infrastructure, and income strategies, see The Blackout Fortune Playbook.

Last updated: February 1, 2026 | Data: Yahoo Finance, Global X filings