2/3/2014
Sold entire VWO position for $4,669 with cost basis of $5,000. Results in a loss of $331. Purchased $4,669 of IEMG.
Hold IEMG position.
| Tax Strategy | ST Realized Gain or (Loss) | LT Realized Gain or (Loss) | Taxes Deferred or (Incurred) |
|---|---|---|---|
| No TLH | $0 | $0 | $0 |
| TLH with 30-day switchbacks | $360 | $(331) | $(15) |
| TLH with parallel position management | $0 | $(331) | $109 |
Assumptions: Calculations above assume one long-term tax lot intially purchased for $5,000 with no fees, expenses, or transaction costs. In concordance with the Betterment trading capability, these examples assume access to fractional shares rather than round lots. Tax is assumed at maximum California rates (federal: 39.6% on income, 23.8% on LTCG; state: 12.3%).