Our weekly roundup of tax-related investment strategies and news your clients may be thinking about.

Mutual funds aren’t always tax-friendly Clients should avoid buying into a mutual fund before it distributes capital gains, or risk paying more to the IRS, according to The Pittsburgh Post-Gazette. Fund managers are constantly buying and selling securities within the fund, and they must pass along to shareholders any realized capital gains that are not offset by losses by the end of the accounting year. That’s why a client should think twice about buying into a mutual fund just prior to a distribution, which typically occurs in December. — The Pittsburgh Post-Gazette

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