Thursday, October 16, 2008

Harvesting Tax Losses

As we have in previous years, the time has come to review Unrealized Gains and Losses reports for all clients that have accounts subject to tax. Given the unusual year we have had in the markets, we have decided to begin this process a bit earlier this year. We plan to run these reports over the coming weeks and are likely to find some positions to sell in order to capture losses and save some money in taxes. With the significant downturn so far this year, you could have the opportunity to soften the blow somewhat by reducing your tax bill this year and possibly in future years, as well. We call this "harvesting tax losses."

If we do sell such an asset, we will reinvest the proceeds into a "substantially different" mutual fund so we avoid the "wash sale" rules but remain in the market. At tax time we will provide details of the sale, including the cost basis to you. This report would be sent to you early in 2009 for submission to your accountant. If in your case, we do find sufficient losses to justify harvesting you will receive confirmations of the trade activity from Schwab.

But before we are able to proceed with loss harvesting, we will need your authorization. Please contact our office with your authorization.

Monday, October 6, 2008

Market Turmoil

The markets are in turmoil. The Bailout is in effect. What should we do? First, stay calm. Your Portfolio allocation was determined with the knowledge that difficult times would come again. Here they are. We will address these issues more fully in our upcoming newsletter. In the meantime, we want to share the audio presentation below. It is about 15 minutes long and a little technical in the beginning, but the presenter does a good job of putting things in perspective if you stick with it.

We have experienced a lot of volatility and uncertainty the past few months and are now witnessing things we have not seen in many years. We understand the strain this puts on everyone and the temptation to abandon the long-term investment plan we have in place. It's important, however, to keep things in perspective in times like these. We hope the presentation helps.

Tuesday, January 1, 2008

Blog Tips for New Readers

Our Blog: A New Look with Some Great Benefits

We have changed the look of our Blog to be more interactive with our readers. You can now subscribe, leave comments, and navigate around the site much easier.

We are continuously adding hints and tips. If you have a question, or you would like to share a blogging tip, please contact Nicole (

The following are frequently asked questions regarding using the new blog site.

How do I subscribe?

By subscribing, you will automatically receive an email each time we post a new entry. We now have a Subscription Form right on the Blog. Simply enter your address and click ‘Subscribe’. An activation email will be sent to your email address. Once your request is activated, you will receive updates via email as new information is added to our site.

How do I leave a comment?

Click on “Comments”, below the blog entry.
Read any comments of others.
Enter your comment.
Type in the special set of letters you see.
Click on one of the identity buttons:

Google Account – for those with a Blogger or Google username
Open ID – for those with a LiveJournal, WordPress, TypePad, or AIM username.
Name/URL – for anyone who would like their name to show with their comment. (You do not have to enter anything in the URL box.)
Anonymous – for anyone not comfortable posting their identity.

After you submit, we review & then post.

How do I use labels to navigate around the Blog?

On the right-hand side of the Blog, you’ll see a listing of 'Labels'. Labels identify blog postings by their subject matter or a particular author. Clicking on a certain Label will bring up all posts with that characteristic. This can help you navigate.

Let's say you want to read all posts about the stock market, you would click on the 'Market' Label. Or if you want to read David's musings, you would click on the 'David' Label.