MDST vs PXJ

MDSTCWestwood Salient Enhanced Midstream Income ETF

PXJCInvesco Oil & Gas Services ETF

In short

MDST Midstream pipelines already throw off cash. MDST layers a covered call overlay on an actively picked pipeline and MLP book, then pays it out monthly, in a 1099 wrapper instead of the MLP K-1 shuffle.

PXJ Oilfield services run through a quant filter: PXJ's index ranks drillers, equipment makers and service firms on momentum, quality and value, then holds about 30. Trading since 2005, at 0.63% net of a waiver through August 31, 2028.

Stated mandate

MDST The Fund seeks income by investing at least 80% of its net assets, including certain investment-purpose borrowings, in securities of North American midstream corporations and U.S. master limited partnerships.

PXJ The Fund tracks the Dynamic Oil Services Intellidex Index by normally investing at least 90% of total assets in its constituent common stocks. The index targets 30 U.S. companies supporting oil and gas production, processing, and distribution.

Why people hold it

• MDST Two income engines, one ticker: distributions from pipelines and MLPs, plus premium collected from writing calls on holdings. Cash goes out monthly.gcs-web.com
• Caps direct MLP holdings at 25% of assets, so shareholders get a 1099 and skip K-1 forms; part of each payout can be return of capital.dividend.comwestwoodgroup.com
• Actively run, not index-shadowing: Westwood's team picks the midstream names and runs the option overlay, with at least 80% in North American midstream and US MLPs.westwoodgroup.com

• PXJ Not a cap-weighted mirror. The index scores candidates on price momentum, earnings momentum, quality, management action and value, then reconstitutes four times a year.invesco.com
• Weight spreads across size tiers rather than piling into the biggest service names, leaving more room for mid- and small-cap drillers than a cap-weighted build.sec.gov
• Listed in 2005, it has traded through multiple drilling booms and busts, holding about 30 US companies that support oil and gas production, processing and distribution.

Worth knowing

• MDST Costs 0.80% a year. That is about the energy-cohort median, but roughly double an index-built midstream fund like MLPX at 0.45%.
• Calls written on holdings swap upside for premium: when those pipelines rip, the capped positions do not come along for the whole ride.gcs-web.com
• Launched in 2024, non-diversified, and concentrated in one industry, so the record is short and the ride is sector-shaped.westwoodgroup.com

• PXJ 0.63% net of a waiver through August 31, 2028, near the energy-sector median. Gross is 0.77%, so the cost steps up if that waiver is not extended.
• Cheaper routes into the niche exist: XES charges 0.35%, with no waiver attached. The quant screen is what the difference buys.
• About 30 stocks in one cyclical industry, tracking drilling and completion budgets more than the broad energy complex, with moderate volume rather than mega-fund liquidity.

Full MDST profile⁠

Full PXJ profile⁠