Tax-efficient portfolio management also incorporates long-term factors. For example, a crux of the decision-making process is which asset class one may hold across multiple accounts such as for an individual that has an IRA and trust or agency. Determining which asset class to hold is not an easy decision and a broad recommendation can not be made as each case is different and will vary from client-to-client. Variables that influence this are the investor’s age, the current impact of the tax code, how much is the expected return, and the tax impact of changes to the portfolios. Some of these variables are more certain than others, but they are a starting point for the multi-portfolio asset allocation decision. As one ages, it is normal to see future changes in portfolio structure among the accounts.

Tax-management can be a complicated process, and we track each account’s capital gain and loss situation over the course of the year. With each investor presenting a unique set of circumstances, we seek feedback from our clients to ensure that we are managing their portfolios as tax-efficiently as possible. In doing so we strive to maximize after-tax rates of return, and honor the adage that states, “It isn’t how much you make, it is how much you keep!”.

• Tax Efficiency

• Diversified Mutual Fund Service

• Performance Measurement