|
is a publicly traded limited liability company that manages and controls the business and affairs of Enbridge Energy Partners, L.P., a master limited partnership that owns petroleum and natural gas midstream businesses in the United States. Enbridge Management’s only investment is its limited partner interest in Enbridge Partners (see Structure Chart)and its success depends on the performance of the Partnership.
Enbridge Management is structured as an attractive alternative to direct investment in master limited partnerships for investors such as mutual funds and tax-exempt entities. The structure offers a number of unique investment attributes, which also have appeal for individual investors:
- Enbridge Management shareholders receive quarterly distributions in the form of additional shares, also known as Paid-In-Kind (PIK) distributions.
- Enbridge Management distributions are not taxable when received, thus shareholders are not issued an annual 1099 tax form.
- The sale of Enbridge Management shares is generally subject to capital gains treatment, providing a tax efficient form of investment.
Enbridge Management shares (symbol: EEQ) and Enbridge Partners common units (symbol: EEP) are traded on the New York Stock Exchange.
|