I've recently been taking some finance courses at Harvard, just finished learning a fair amount about options and futures for the first time.
I had a thought about how these instruments would allow one to place opposing bets in 401k vs Roth, with the intention of transferring wealth between the two. If things went as planned, the roth would increase equal to a loss in the 401, effectively avoiding tax.
This idea is REALLY intriguing to me, and i wanted to float it out there and ask for analysis from people who have more experience with derivatives than i do.
Legally, i am really concerned if there are laws on the books that would cover this or not, but that's my problem not yours.
Sent from my iPhone using Early Retirement Forum
I had a thought about how these instruments would allow one to place opposing bets in 401k vs Roth, with the intention of transferring wealth between the two. If things went as planned, the roth would increase equal to a loss in the 401, effectively avoiding tax.
This idea is REALLY intriguing to me, and i wanted to float it out there and ask for analysis from people who have more experience with derivatives than i do.
Legally, i am really concerned if there are laws on the books that would cover this or not, but that's my problem not yours.
Sent from my iPhone using Early Retirement Forum
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