Passive income refers to earnings generated with minimal effort or active involvement from the recipient. Unlike traditional income, which requires ongoing work or active participation, passive income streams allow individuals to earn money with little direct labor after the initial setup. Common sources of passive income include rental income from real estate, dividends from stocks, interest from savings accounts, royalties from creative works, and income from investments in businesses or funds. The appeal of passive income lies in its potential to provide financial stability and freedom, enabling individuals to pursue other interests or reduce reliance on a traditional job. It is often associated with the idea of achieving financial independence, where one can sustain their lifestyle through income that does not require continuous effort.
Pipelines represent a stable investment opportunity in the midstream energy sector. An investment of $25,000 in these companies can generate significant passive income through dividends. Enbridge, Energy Transfer, and Enterprise…