Dear Guardian, After playing through seven characters (Three titans, two hunters, and two warlocks. Yea, I had no life when the game first came out), I have found that only your first set of milestone powerful engrams grant gear that is higher level and that the drop levels are a little buggy here and there (sometimes I will walk away from the vendor, change some gear to alter my level and it will be updated). Bungie has stated that the loot system is not working quite as intended and are currently working on fixing the problem, but this mostly pertains to fixing the Trails of the Nine and Raid Clan engram drops. Still, the milestone activities are your best bet for getting more powerful gear in Destiny 2 as they are the only activities that can drop gear higher than your gear drop floor. On top of these activities, performing the exotic questlines are also reliable ways to get high level gear just keep in mind that all exotics are modified to be 5 higher than it's actual level so watch out for infusion. Best of luck to you.