Everyone Loves This 6.5% Pipeline Yield. Here's the Risk I Think They're Ignoring.

Energy Transfer offers an attractive 6.5% yield with 3-5% annual distribution growth targets, but the author recommends Enterprise Products Partners' 5.8% yield instead due to trust concerns. Energy Transfer's history includes a 2020 distribution cut during the pandemic and a failed 2016 acquisition attempt of Williams, raising reliability concerns for income investors compared to Enterprise's 28 consecutive years of distribution increases and investment-grade balance sheet.