Master Limited Partnership (MLPs) Losses and Lawsuits

Levin Law, P.A. is Investigating Brokerage Firms that Recommended and Sold Master Limited Partnerships (MLPs) to their Customers

The national securities law firm, Levin Law, P.A. (“Levin Law”) is investigating brokerage firms that recommended and sold Master Limited Partnership (“MLPs”) to their customers.  If your investment advisor, stockbroker or other financial professional recommended and sold any MLPs to you and you suffered significant losses, please contact us at 305-402-9050 or contact@levinlawpa.com.  Recently, investors have suffered catastrophic losses from their MLP investments, particularly when their advisors have recommended that they place a significant percentage of their portfolio assets in MLPs.

What is a Master Limited Partnership?

The MLP is a hybrid legal structure that combines elements of a partnership with elements of a corporation.  An MLP issues units, which are like shares.  Such units are often traded on public stock exchanges, which provides liquidity to investors.  Unitholders are allocated a share of the MLP’s income, deductions, losses, and credits.

Contact Levin Law at (305) 402-9050 or contact@levinlawpa.com today if you were an investor in any MLP.  Levin Law represents investors throughout the United States and the rest of the world.  Levin Law’s founding attorney has recovered nearly $100 million in assets for investors.

Master Limited Partnerships are Complicated and Risky

MLPs are complex investment vehicles that are difficult for most retails investors to understand.

MLPs are required to derive 90% of their revenues from the natural resources industry or real estate that is subject to “qualified income.” Thus, the performance of MLPs is tied almost entirely to the energy and real estate sectors.  As such, MLPs are subject to the risks inherent in those sectors.  Like other energy and real estate investments, MLPs are subject to the change in market conditions of those sectors.  MLPs can be quite risky, but unfortunately many financial advisors inform their customers that the energy MLPs are “safe” or conservative.  When making recommendations to purchase securities, including MLPs, financial advisors have the duty to fully explain all materials risks of such investments.  Many financial advisors, however, fail to disclose the true risks inherent in MLPs, resulting in investors thinking that their MLP investments were “safe.”  Such investors were justifiably surprised when their so-called safe investments dropped significantly during the most recent market decline, resulting in part due to the spread of the COVID-19.

MLPs typically are leveraged instruments.  Thus, if interest rates increase or banks decrease their amount of lending, then MLP values may decrease.  Further, many advisors highlight only the higher yields generated from MLPs and do not fully and accurately disclose the true risks of MLPs.

Financial Professionals Received High Commissions From Selling MLPs

Financial institutions selling MLPs – such as broker-dealers, investment advisors, and banks – typically are compensated well for selling MLPs.  As a general matter, MLPs are expensive to the investor because of high commissions paid to the brokerage firm, high management fees, and other fees and compensation paid to the general partners and the selling broker-dealer.

MLPs are subject to interest rate risk.  Thus, if interest rates increase or banks decrease their amount of lending, then MLP values may decrease.  Further, many advisors highlight only the higher yields generated from MLPs and do not fully and accurately disclose the true risks of MLPs.

Many MLP and Energy Company Stock Prices Have Dropped Significantly During the Coronavirus Pandemic

During the rapid spread of COVID-19 and due to the decline in oil prices, many MLPs have dropped significantly in value.  Some of the MLPs and energy companies that have suffered meaningful declines are as follows, some dropping as much as 90% in share/unit price in the last few months.

If you have suffered losses in any Master Limited Partnership, please contact Levin Law managing partner, Brian Levin, at 305-402-9050, brian@levinlawpa.com, or visit Levin Law’s website, www.levinlawpa.com.  Levin Law accepts most cases on a contingency-fee basis, meaning that clients are not obligated to pay Levin Law’s attorney fees unless money is recovered for the investor.

Complete List of Master Limited Partnerships

According to www.dividend.com, the following is a list of all current publicly-traded Master Limited Partnerships:

WES Western Gas Partners L.P.

AM Antero Midstream Partners LP

ENBL Enable Midstream Partners LP

USDP USD Partners LP

ARLP Alliance Resource Partners L.P.

GEL Genesis Energy L.P.

CEQP Crestwood Equity Partners LP

DKL Delek Logistics Partners LP

GPP Green Plains Partners LP

EQM EQT Midstream Partners LP

PBFX PBF Logistics LP

CEN Center Coast MLP & Infrastructure

USAC Usa Compression Partners LP

HMLP Hoegh LNG Partners LP

NS NuStar Energy L.P.

NMM Navios Maritime Partners L.P.

MMLP Martin Midstream Partners L.P.

HEP Holly Energy Partners L.P.

KRP Kimbell Royalty Partners, LP

MPLX MPLX LP

VNOM Viper Energy Partners LP

ET Energy Transfer LP

SRLP Sprague Resources LP

GLP Global Partners L.P.

SUN Sunoco LP

CAPL Crossamerica Partners LP

SPH Suburban Propane L.P.

BSM Black Stone Minerals LP

CPLP Capital Product Partners L.P.

SHLX Shell Midstream Partners, L.P.

KNOP KNOT Offshore Partners LP

CNXM CNX Midstream Partners LP

FUN Cedar Fair L.P.

BKEP Blueknight Energy Partners L.P.

CELP Cypress Energy Partners LP

IEP Icahn Enterprises L.P.

BKEPP Blueknight Energy Partners L.P.

AB AllianceBernstein Holding L.P.

NSS NuStar Logistics, L.P

HESM Hess Midstream Partners LP

BPMP BP Midstream Partners LP

NRP National Resource Partners L.P.

OKE ONEOK Inc.

PAA Plains All American Pipeline L.P.

DMLP Dorchester Minerals, L.P.

BPY Brookfield Property Partners LP

PAGP Plains GP Holdings LP

WLKP Westlake Chemical Partners LP

LMRK Landmark Infrastructure Partners LP

CINR OCI Resources LP

MMP Magellan Midstream Partners L.P.

EPD Enterprise Products Partners L.P.

TCP TC Pipelines L.P.

PSXP Phillips 66 Partners LP

EVA Enviva Partners, LP

CQP Cheniere Energy Partners L.P.

ATAX America First Tax Exempt Investors L P Units Ben Int

EFC Ellington Financial LLC

TGP Teekay LNG Partners L.P.

SGU Star Gas Partners L.P. Unit LP Int

BIP Brookfield Infrastructure Partners L.P.

NEP NextEra Energy Partners, LP

BX Blackstone Group L.P.

FISK, OGCP, and ESBA Empire State Realty

BEP Brookfield Renewable Energy Partners LP Partnership Units (Bermuda)

CCLP CSI Compressco LP

ARES Ares Management LP

NEN New England Realty Associates L.P. Depositary Rcpt

BBU Brookfield Business Partners L.P.

ATLS Atlas Energy L.P.

DLNG Dynagas LNG Partners LP

CNNX CONE Midstream Partners LP

CNXC CNX Coal Resources LP

AMGP Antero Midstream GP LP

ETE Energy Transfer Equity L.P.

RGP Regency Energy Partners L.P.

NSLP New Source Energy Partners LP

NBLX Noble Midstream Partners LP

SPP Sanchez Production Partners LP

RGP Regency Energy Partners L.P.

WGP Western Gas Equity Partners LP

STON StoneMor Partners L.P.

TEGP Tallgrass Energy GP, LP

CLMT Calumet Specialty Products L.P.

ARP Atlas Resource Partners, L.P.

DPM DCP Midstream Partners L.P.

NZTCY Telecom Corporation of New Zealand Limited

NRGY Inergy L.P.

MCEP Mid-Con Energy Partners LP

SNMP Sanchez Midstream Partners LP

GSJK Compressco Partners LP

OZM Och-Ziff Capital Management

OMP Oasis Midstream Partners LP

OXF Oxford Resource Partners L.P.

SPLP Steel Partners Holdings L.P.

UAN CVR Partners L.P.

DCP DCP Midstream, LP

DSE Duff & Phelps Select Energy MLP

GMLP Golar LNG Partners LP

SMLP Summit Midstream Partners LP

ENLC EnLink Midstream LLC

NGL NGL Energy Partners L.P.

GLOP GasLog Partners LP

About Levin Law

Levin Law is a premier securities and class action law firm with significant experience.  Brian Levin, Levin Law’s founding attorney, has helped recover around $100,000,000 through securities arbitration and litigation for individual and institutional investors throughout the country and the rest of the world. Levin Law represents retirees, individual investors, high-net-worth investors, ultra-high-net-worth investors, institutions, family offices, trusts, publicly held companies, and others.