In a recent article entitled “REITs Vs. MLPs: Which Is The Better Investment?” I go on to explain that both MLPs and REITs present lucrative opportunities for high-yield seeking investors right now. This is because both of these business models require companies to distribute a high percentage of cash flows to investors in exchange for being classified as corporate income tax-exempt pass-through entities.
Similarly, Business Development Companies, or BDCs, are regulated investment companies that must distribute 90% of their taxable income to shareholders. They are very popular among income investors and