We examine how robo-advisors have evolved over the past decade to determine if their services justify the fees they charge. Topics covered include: How large are the top 5 robo-advisors Robo-advisor fees Robo-advisor holdings Why robo-advisors are turning toward direct indexing for tax loss harvesting How much excess return does tax loss harvesting generate Who can benefit from using robo-advisors Show Notes The Tax Benefits of Direct Indexing, and How They … [Read more...]
422 Plus: A TIPS Trade, TIPS Taxes, Wash Sale Update, and Finding Alternative Investment Funds
In Plus episode 422, we discuss a recent TIPS purchase David made. We review how TIPS are taxed, including what are original issue discounts. We look at examples of tax loss harvesting trades that Schwab Intelligent Portfolios made that they don't believe violate the wash sale rule. Finally, we discuss the challenge for individual investors in finding alternative investment managers in the venture capital and leveraged buyout areas. … [Read more...]
397 Plus: Wash Sales, Carried Interest, and Interval Funds
In Plus Episode 397, we look at what wash sales are and who polices them as it relates to tax loss harvesting. We look at the controversy in the U.S. regarding carried interest. Should private equity fund managers get favorable tax treatment? Finally, we look at what interval funds are, what the risks are, and why there are so many more of them. We specifically look at the Sweater Cashmere fund. … [Read more...]
350 Plus: Taking Out a Home Mortgage to Invest, Tax Loss Harvesting, and TIPS
In Plus Episode 350, we compare reverse mortgages to home equity loans. What to consider when deciding to take a home mortgage to invest in other assets. We look at tax principles when it comes to investing and explore how tax-loss harvesting works. Finally, we review the pricing of Treasury Inflation Protection Securities and how to estimate their returns. … [Read more...]
