In the United States as well as in an increasing number of European countries, tax-aware investment strategies are increasingly popular with private investors. The idea is simple. Reduce the capital gains tax due by carefully managing portfolio turnover and the selection of stocks that are being sold. Ideally, try to sell stocks held at a loss while letting your winners run (tax-loss harvesting). The benefits of such tax-aware strategies can be dramatic. A team of analysts from AQR Capital Management, the hedge fund behemoth,
Too much of a good thing
Too much of a good thing
Too much of a good thing
In the United States as well as in an increasing number of European countries, tax-aware investment strategies are increasingly popular with private investors. The idea is simple. Reduce the capital gains tax due by carefully managing portfolio turnover and the selection of stocks that are being sold. Ideally, try to sell stocks held at a loss while letting your winners run (tax-loss harvesting). The benefits of such tax-aware strategies can be dramatic. A team of analysts from AQR Capital Management, the hedge fund behemoth,