Course 304:
Strategies for Selling
In this course
1 Introduction
2 Just How Big a Gain Are You Looking At?
3 When to Sell and Accept the Tax Consequences
4 When to Think About Waiting

You've decided that yes, you need to sell an investment from your portfolio.Selling a loser is no problem for most investors (though we'd advise against selling an investment simply because it's down--further investigation is almost always warranted). But what about an investment where you've made a few bucks? If you're selling the investment from a taxable account, Uncle Sam will be right behind you with his open hand.

The idea of paying taxes on investment gains shouldn't stop you from selling securities that you want to sell. But you need to realize what the tax consequences of any sale would be. By putting off a sale, you may be able to save a bundle in taxes.

Here's how to figure out how much appreciation you're sitting on, the scenarios where you'd probably be best off accepting the tax consequences, and where delaying a sale might be the better choice.

Next: Just How Big a Gain Are You Looking At? >>

Print Lesson |Feedback | Digg! digg it
Learn how to invest like a pro with Morningstar’s Investment Workbooks (John Wiley & Sons, 2004, 2005), available at online bookstores.
Copyright 2015 Morningstar, Inc. All rights reserved. Please read our Privacy Policy.
If you have questions or comments please contact Morningstar.