The Alerian MLP ETF provides a 7.78% yield, outpacing cash and Treasury yields amid Fed rate cuts.
The Alerian MLP ETF (NYSEARCA:AMLP) yields 7.78%, translating to roughly $7,000 in annual income on a $100,000 investment. The fund holds pipeline partnerships, which generate stable cash flow from fees for transporting oil, gas, and natural gas liquids, reducing exposure to commodity price volatility.
Cash yields have declined this year, with the Fed cutting rates by 75 basis points to 3.75%. The average 12-month CD now pays 1.65%, while the 10-year Treasury yields 4.51%. AMLP’s quarterly distributions and 1099 tax forms appeal to retail investors avoiding K-1 forms from direct MLP ownership.
AMLP’s top holdings include MPLX (12.76%), Sunoco (12.26%), and Enterprise Products Partners (12.23%). Recent distributions were $1.03 in May 2026 and $1.01 in February 2026, reflecting its high-yield profile despite a deferred tax liability on its C-corp structure.