Any reasons NOT to buy or sell this weekend? (end of year)

Discuss all general (i.e. non-personal) investing questions and issues, investing news, and theory.

Any reasons NOT to buy or sell this weekend? (end of year)

Postby JustinR » Wed Dec 26, 2012 8:53 am

I'm planning on adding new money this weekend (and perhaps rebalance in my taxable and retirement accounts), which happens to be right before the new year.

Are there any reasons not to do any of the following things now, or rather...
would it be better to wait to do any of these things NEXT YEAR?

1) Buy in taxable
2) Buy or sell in 401k
3) Buy or sell in Roth IRA
JustinR
 
Posts: 282
Joined: Wed Apr 28, 2010 12:43 am

Re: Any reasons NOT to buy or sell this weekend? (end of yea

Postby Johm221122 » Wed Dec 26, 2012 8:56 am

Just another weekend, follow you plan
john
Johm221122
 
Posts: 4848
Joined: Fri May 13, 2011 7:27 pm

Re: Any reasons NOT to buy or sell this weekend? (end of yea

Postby sscritic » Wed Dec 26, 2012 9:00 am

I never do any buying and selling on Saturday and Sunday. I do mine on Friday and Monday.
sscritic
 
Posts: 21858
Joined: Thu Sep 06, 2007 9:36 am

Re: Any reasons NOT to buy or sell this weekend? (end of yea

Postby Bob's not my name » Wed Dec 26, 2012 9:19 am

You say you might rebalance in taxable but then you don't list selling in taxable in your question. There may be tax reasons for or against selling in taxable.

As for buying in taxable, 401k, or Roth, avoiding a wash sale would be one reason not to buy in any of those places, but that is not linked to the year change.
Bob's not my name
 
Posts: 6975
Joined: Sun Nov 15, 2009 10:24 am

Re: Any reasons NOT to buy or sell this weekend? (end of yea

Postby 555 » Wed Dec 26, 2012 10:47 am

Is the market open on Dec 31st?
555
 
Posts: 4245
Joined: Thu Dec 24, 2009 8:21 am

Re: Any reasons NOT to buy or sell this weekend? (end of yea

Postby livesoft » Wed Dec 26, 2012 10:50 am

@555, of course. Do you want me to google that for you?
Last edited by livesoft on Wed Dec 26, 2012 11:14 am, edited 1 time in total.
It's all about short-term opportunistic rebalancing due to a short-term change in one's asset allocation, uh, I mean opportunistic rebalancing, uh I mean rebalancing, uh I mean market timing.
livesoft
 
Posts: 34296
Joined: Thu Mar 01, 2007 9:00 pm

Re: Any reasons NOT to buy or sell this weekend? (end of yea

Postby JustinR » Wed Dec 26, 2012 10:54 am

Bob's not my name wrote:You say you might rebalance in taxable but then you don't list selling in taxable in your question. There may be tax reasons for or against selling in taxable.

As for buying in taxable, 401k, or Roth, avoiding a wash sale would be one reason not to buy in any of those places, but that is not linked to the year change.

Only because I don't plan on selling anything in taxable this weekend (I try to avoid it as much as I can). But feel free to summarize why not to sell in taxable for other people.

livesoft wrote:Of course. Do you want me to google that for you?

Sure. I'd love it if you could also summarize your findings for me though, thanks.
JustinR
 
Posts: 282
Joined: Wed Apr 28, 2010 12:43 am

Re: Any reasons NOT to buy or sell this weekend? (end of yea

Postby sscritic » Wed Dec 26, 2012 10:58 am

livesoft wrote:Of course. Do you want me to google that for you?

But will it close early? Will google work in 12/31? :)
sscritic
 
Posts: 21858
Joined: Thu Sep 06, 2007 9:36 am

Re: Any reasons NOT to buy or sell this weekend? (end of yea

Postby livesoft » Wed Dec 26, 2012 11:34 am

JustinR wrote:I'm planning on adding new money this weekend (and perhaps rebalance in my taxable and retirement accounts), which happens to be right before the new year.

Are there any reasons not to do any of the following things now, or rather...
would it be better to wait to do any of these things NEXT YEAR?

1) Buy in taxable
2) Buy or sell in 401k
3) Buy or sell in Roth IRA

How much money are we talking about? If not a lot (say less than 1% of your total portfolio), I wouldn't worry about it.

A possible reason to do this before Friday is that in one year (in 2013) you will possibly have the option to sell at a long-term gain. If you wait until Dec 31st (Monday), then wouldn't you have to wait until 2014 to sell at a long-term? This is a bit of long-range planning. As for selling this year in taxable, only you know your tax situation.

Otherwise, it probably makes no difference whatsoever. Except ...

Because of things [not] happening in Washington, DC, you could be accused of market-timing. If that bothers you, you might want to wait. OTOH, if you wait, you could be accused of market-timing. If that bothers you, you might want to go ahead this week.

For me, I like to purchase on a RBD and market time, so if there is an RBD whether in 2012 or 2013, I will time my purchases for that day. I am confident that my fellow investors will deliver an RBD very soon.
It's all about short-term opportunistic rebalancing due to a short-term change in one's asset allocation, uh, I mean opportunistic rebalancing, uh I mean rebalancing, uh I mean market timing.
livesoft
 
Posts: 34296
Joined: Thu Mar 01, 2007 9:00 pm

Re: Any reasons NOT to buy or sell this weekend? (end of yea

Postby Aptenodytes » Wed Dec 26, 2012 11:42 am

sscritic wrote:
livesoft wrote:Of course. Do you want me to google that for you?

But will it close early? Will google work in 12/31? :)

There's a special tag in Google that let's you search whether something is searchable. I forget what it is, so if anyone knows, please respond.
User avatar
Aptenodytes
 
Posts: 2335
Joined: Tue Feb 08, 2011 9:39 pm

Re: Any reasons NOT to buy or sell this weekend? (end of yea

Postby Joe S. » Wed Dec 26, 2012 3:37 pm

JustinR wrote:... Are there any reasons not to do any of the following things now, or rather...

1) Buy in taxable

December has a lot of distribution dates. You should usually wait until after a distribution date to buy, so you don't "buy the dividend.
Read this Vanguard literature:
https://personal.vanguard.com/us/insigh ... tual-funds
User avatar
Joe S.
 
Posts: 478
Joined: Sat May 05, 2007 1:11 pm

Re: Any reasons NOT to buy or sell this weekend? (end of yea

Postby umfundi » Wed Dec 26, 2012 6:38 pm

Any reasons NOT to buy or sell this weekend? (end of year)


Because you have other things to do?

Keith
Déjà Vu is not a prediction
umfundi
 
Posts: 3361
Joined: Tue Jun 07, 2011 6:26 pm

Re: Any reasons NOT to buy or sell this weekend? (end of yea

Postby JustinR » Wed Dec 26, 2012 7:51 pm

Joe S. wrote:
JustinR wrote:... Are there any reasons not to do any of the following things now, or rather...

1) Buy in taxable

December has a lot of distribution dates. You should usually wait until after a distribution date to buy, so you don't "buy the dividend.
Read this Vanguard literature:
https://personal.vanguard.com/us/insigh ... tual-funds

Perfect, thanks! I'll check the distribution dates before I buy.


livesoft wrote:
JustinR wrote:I'm planning on adding new money this weekend (and perhaps rebalance in my taxable and retirement accounts), which happens to be right before the new year.

Are there any reasons not to do any of the following things now, or rather...
would it be better to wait to do any of these things NEXT YEAR?

1) Buy in taxable
2) Buy or sell in 401k
3) Buy or sell in Roth IRA

How much money are we talking about? If not a lot (say less than 1% of your total portfolio), I wouldn't worry about it.

A possible reason to do this before Friday is that in one year (in 2013) you will possibly have the option to sell at a long-term gain. If you wait until Dec 31st (Monday), then wouldn't you have to wait until 2014 to sell at a long-term? This is a bit of long-range planning. As for selling this year in taxable, only you know your tax situation.

Otherwise, it probably makes no difference whatsoever. Except ...

Because of things [not] happening in Washington, DC, you could be accused of market-timing. If that bothers you, you might want to wait. OTOH, if you wait, you could be accused of market-timing. If that bothers you, you might want to go ahead this week.

For me, I like to purchase on a RBD and market time, so if there is an RBD whether in 2012 or 2013, I will time my purchases for that day. I am confident that my fellow investors will deliver an RBD very soon.

Ok, so it seems like the end of the calendar year isn't that special other than the long term gain thing. Thanks.
JustinR
 
Posts: 282
Joined: Wed Apr 28, 2010 12:43 am


Return to Investing - Theory, News & General

Who is online

Users browsing this forum: Buddtholomew, EyeDee, FAST Enterprise [Crawler], Google [Bot], HomerJ, MP173, PNWhappy, Taylor Larimore and 72 guests