Active Tax Management

Rising Star Alpha: Loss Harvesting in a Small-Cap Index

April 18, 2019

The small, volatile stocks that compose the Russell 2000 Index may make that benchmark a promising source of tax alpha, but turnover in small-cap indexes tends to be high. Does the turnover in the... Read More

Active Tax Management

Tax Awareness Is The Next Big Thing

March 18, 2019

Heightened investor sophistication that took decades to evolve has finally forced the financial services industry to come to terms with how much fees can eat into returns. Naturally, the industry... Read More

Active Tax Management

How 2017 Tax Reform Affects Top-Bracket Taxable Investors

January 18, 2018

While the recently enacted Tax Cuts and Jobs Act has appropriately generated a great deal of press coverage and analysis, not as much has been written on its impact on taxable ultra-high-net-worth... Read More

Active Tax Management

FIFO Update #3

FIFO Requirement Out, AMT Still In, but Stay Tuned for Further Developments

December 20, 2017

As many of you already know, the tax bill as modified by the US congressional reconciliation committee removed the proposed new rule mandating use of the FIFO (first-in, first-out) method for all... Read More

Active Tax Management

FIFO Update #2

The Impact of FIFO on a Tax-Managed Indexing Strategy with Deposits

December 14, 2017

We’ve received a lot of great questions in response to our November 21 Client Research Call on how the FIFO (first-in, first-out) provision in the US Senate version of the Tax Cuts and Jobs Bill... Read More

Active Tax Management

Optimal Gifting for Financial and Philanthropic Return

December 8, 2017

As the end of the year approaches, many of our clients are thinking about making contributions to their favorite charities or through their donor-advised funds or family foundations. Well-informed... Read More

Active Tax Management

Introducing Aperio's After-Tax Back-Testing Analysis Tool (ATBAT)

November 29, 2017

An enormous body of academic finance literature discusses the pre-tax performance of public equity factor tilts, but almost nothing measures the impact of taxes on taxable asset owners. Pete Hand... Read More

Active Tax Management

FIFO Update #1

The Impact of FIFO on a Tax-Managed Indexing Strategy

November 20, 2017

The tax reform bill under consideration in the US Senate includes a first-in, first-out (FIFO) rule for the sale of public equity. If adopted, the provision will require an investor who is... Read More

Active Tax Management

Adding Alpha by Defusing the Disposition Effect

(Or Tying Yourself to the Mast)

October 19, 2017

In 1979, Daniel Kahneman and Amos Tversky published "Prospect Theory: An Analysis of Decision Under Risk." Regarded as perhaps the seminal paper in behavioral economics, the article’s central idea... Read More

Active Tax Management

What Is Tax Economics?

Q&A with Aperio Cofounder, CEO, and Chief Tax Economist Patrick Geddes

May 17, 2017

Tax Economics is a mind-set and approach to making investment decisions focused on maximizing after-tax returns. Investors can reap enormous financial benefits by considering the tax implications... Read More

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