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
Register or login for access to this item and much more
All Financial Planning content is archived after seven days.
Community members receive:
- All recent and archived articles
- Conference offers and updates
- A full menu of enewsletter options
- Web seminars, white papers, ebooks
Already have an account? Log In
Don't have an account? Register for Free Unlimited Access