2018 Fund Distribution & Capital Gains Estimates
Fund companies have been starting to distribute and update their estimated 2018 distributions/capital gains estimates.With that in mind we thought it would be helpful to provide a few, important bullet points:
- Each client’s tax situation is different and a tax professional should be engaged as needed. This article is not intended as tax advice.
During this time of year especially, pay attention to the record and pay dates for distributions.
Specifically, when making new purchases this time of year, try to avoid buying into the distribution, a scenario where you are buying an investment after the record date but before the payable date, thus subjecting the client to the NAV drop from the distribution but not receiving the distribution.
- Similarly, if an investment has a relatively large distribution, try to avoid buying into the investment before the record date and pay date so the client doesn’t receive a distribution from a security they really haven’t held throughout the year.
Below are links to the distribution schedules for some of the fund companies we use most often. Please note these websites include estimates and those estimates are subject to change so be sure to check back as needed.
And for advisors approved for Dimensional Funds:
If you have any questions please email firstname.lastname@example.org or call (360) 301-7579.
The commentary contained herein is intended to be general and educational in nature, and is not intended to be used as the primary basis for investment decisions, nor should it be construed as advice designed to meet the particular needs of an individual investor. Nothing contained herein should be considered legal, tax, accounting, investment, financial, or other professional advice, and should not be construed as an offer to sell, a solicitation of an offer to buy, or a recommendation of any security or other financial product or investment strategy. Investors should consult with a qualified professional advisor before taking any action based on this commentary.
Investing in mutual funds, exchange-traded funds (“ETFs”), and other equity and debt securities involve risks, including loss of principal. Any performance data quoted represents past performance. Past performance does not guarantee future results and principal value will fluctuate so that an investor’s investments, when redeemed, may be worth more or less than their original cost. Performance data quoted does not account for any advisory fees imposed by XYIS or any independent and unaffiliated financial planners, or other transaction charges, expenses, taxes, or other fees and costs. Performance of an investor’s actual portfolio will differ from any performance presented.
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About XY Investment Solutions, LLC
XY Investment Solutions, LLC (“XYIS”), through its partnership with East Bay Financial Services, LLC (“East Bay”), builds investment models through a technology solution, and supports financial planners with investment strategies based on research, experience, and sound rationale. XYIS primarily allocates client assets among various mutual funds and/or ETFs. XYIS may also allocate client assets in individual debt and equity securities, options and independent investment managers. XYIS's services are based on long-term investment strategies incorporating the principles of Modern Portfolio Theory. XYIS manages client investments in portfolios on a discretionary basis.
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