|
Funds for taxable accounts
04-19-2005, 05:07 AM
|
#1
|
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Feb 2005
Location: Central MS/Orange Beach, AL
Posts: 9,067
|
Funds for taxable accounts
To the fund junkies out there, what funds are you holding in your taxable account? I am a fan of Trowe Price Capital Appreciation Stock Fund but it is not very tax efficient. I know ETF's are a good way to go but would like to know what you would recommend on a 50/50 conservative split.
__________________
Retired 3/31/2007@52
Investing style: Full time wuss.
|
|
|
|
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!
Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!
You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!
|
Re: Funds for taxable accounts
04-19-2005, 05:58 AM
|
#2
|
Thinks s/he gets paid by the post
Join Date: Feb 2005
Location: Lou-evil
Posts: 2,025
|
Re: Funds for taxable accounts
If you seek tax efficiency I would reco Vanguard Tax Managed Funds. *I believe (off the top of my head) they offer Large Cap, Small Cap, Foreign & some Balanced funds (which I believe would suit you). *They manage the funds in a way to minimize the tax bill for the big players such as yourself. *
I would reco the Dodge & Cox flagship fund for actively managed but it closed a little while ago. *They follow a strict passive management style and the low turnover leads to lower bills. *Maybe one to look out for in the future.
Dog - What shoulder does the devil sit on?
__________________
"These walls are kind of funny. First you hate 'em, then you get used to 'em. Enough time passes, gets so you depend on them"
|
|
|
Re: Funds for taxable accounts
04-20-2005, 02:54 PM
|
#3
|
Recycles dryer sheets
Join Date: Feb 2005
Posts: 454
|
Re: Funds for taxable accounts
I'm trying to hold foreign funds in taxable, to get the foreign tax credit. VWO/VEIEX for example, EM index, has about .25% forn tax credit a year lately, and under 2% distribution per year last 3 years. With the new vipers, I expect it to be pretty tax efficient in future.
If all foreign funds are already in taxable account, then one to consider is VTI. Quite tax efficient, as the vipers can slowly eliminate low cost basis shares when people are selling, and the old mutual fund can take losses on redemptions by selling high cost basis shares, and the index doesn't need to be rebalanced--it's the total stock market.
If you mean active funds, then I'd consider foreign, tax managed, and/or low turnover. One that comes to mind is TAVFX, mostly US, but has had low turnover so probably tax efficient.
|
|
|
Re: Funds for taxable accounts
04-20-2005, 03:27 PM
|
#4
|
Moderator Emeritus
Join Date: Dec 2002
Location: Oahu
Posts: 26,855
|
Re: Funds for taxable accounts
Tax efficiency is only one aspect of choosing an asset allocation, and I think it's a minor aspect at that, but take a look at Tweedy, Browne.
(For a limited time only.)
__________________
*
Co-author (with my daughter) of “Raising Your Money-Savvy Family For Next Generation Financial Independence.”
Author of the book written on E-R.org: "The Military Guide to Financial Independence and Retirement."
I don't spend much time here— please send a PM.
|
|
|
Re: Funds for taxable accounts
04-20-2005, 04:27 PM
|
#5
|
Full time employment: Posting here.
Join Date: Apr 2005
Posts: 524
|
Re: Funds for taxable accounts
Indexing works great in taxable accounts. If your income is high municipals are great, especially if you live in a high tax state that's targeted by one of Vanguard's funds.
Look into:
Vanguard Index500
Vanguard Total Stock Market Index
Vanguard Intermediate Term Muni
Vanguard State Specific Munis (Ca, NY, MA, etc.)
|
|
|
|
Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
|
|
Thread Tools |
|
Display Modes |
Linear Mode
|
Posting Rules
|
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts
HTML code is Off
|
|
|
|
» Recent Threads
|
|
|
|
|
|
|
|
|
|
|
|
|
» Quick Links
|
|
|