Better Buy: Magellan Midstream Partners, L.P. vs. Spectra Energy Partners, LP

There's been a lot of change swirling around midstream energy partnership Spectra Energy Partners, LP (NYSE: SEP) over the last year, and it isn't over yet. Industry peer Magellan Midstream Partners, L.P. (NYSE: MMP), on the other hand, has been chugging along slow and steady, just like it always has. But the truth is that both largely fee-based partnerships are very similar, and are set to get even more alike in 2018 because of the changes at Spectra. Magellan, however, will still have a slight edge over Spectra in my opinion. Here's why.

Not much has actually changed at Spectra Energy Partners itself, which is good news. In fact, the partnership recently reached the milestone of 10 years of consecutive annual distribution increases. However, there was a huge shift at the partnership's general partner, Spectra Energy. At the end of February 2017, Enbridge (NYSE: ENB) acquired Spectra Energy for roughly $28 billion.

Image source: Getty Images.

Source: Fool.com