VG Mutual Fund Basis

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Sidney
Posts: 6694
Joined: Thu Mar 08, 2007 6:06 pm

VG Mutual Fund Basis

Post by Sidney » Mon Feb 12, 2018 11:00 am

I have an intermediate tax-exempt bond fund in taxable (one account). When I look at the "cost basis" screen on VG I get the following

Non-covered Shares with an cost basis per share of $13.26 and showing an unrealized gain
Covered shares with a cost basis of $14.15 per share and showing an unrealized loss.

On the same screen, the system indicates "average cost basis method"

When I go to the account profile, it shows cost basis method "Not established"

If it were truly using average cost, wouldn't the two blocks have the same per unit cost basis on the cost basis screen?

What I would like to do is establish the method now as Spec-ID and harvest the losses on the Covered Shares. Is this feasible?
I always wanted to be a procrastinator.

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oneleaf
Posts: 2344
Joined: Mon Feb 19, 2007 5:48 pm

Re: VG Mutual Fund Basis

Post by oneleaf » Mon Feb 12, 2018 11:12 am

Covered and noncovered shares are treated as separate accounts, even if you use average cost. Yes, change to SpecID and you will be good to go to harvest losses on the covered shares.

Sidney
Posts: 6694
Joined: Thu Mar 08, 2007 6:06 pm

Re: VG Mutual Fund Basis

Post by Sidney » Mon Feb 12, 2018 11:16 am

oneleaf wrote:
Mon Feb 12, 2018 11:12 am
Covered and noncovered shares are treated as separate accounts, even if you use average cost. Yes, change to SpecID and you will be good to go to harvest losses on the covered shares.
Thanks
I always wanted to be a procrastinator.

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