Harvested, but to a higher expense ratio

Have a question about your personal investments? No matter how simple or complex, you can ask it here.
Post Reply
InvestInLife
Posts: 32
Joined: Mon Aug 22, 2016 2:36 pm

Harvested, but to a higher expense ratio

Post by InvestInLife » Wed Oct 04, 2017 8:58 am

In August, I harvested losses from VBR by moving funds to VTWV. Since then, VTWV has skyrocketed up 9.2%, but VTWV's fee is 0.2% vs. VBR's 0.07%.

Would you just leave funds in VTWV indefinitely, or wait one year and then move back into VBR for the lower expense ratio, incurring a lot of capital gains?

John Laurens
Posts: 219
Joined: Mon Nov 14, 2016 7:31 pm

Re: Harvested, but to a higher expense ratio

Post by John Laurens » Wed Oct 04, 2017 9:02 am

I keep my tlh partner indefinitely if the lots have cap gains.

What do you mean by skyrocketed?

Regards,
John

mcraepat9
Posts: 757
Joined: Thu Jul 16, 2015 11:46 am

Re: Harvested, but to a higher expense ratio

Post by mcraepat9 » Wed Oct 04, 2017 9:40 am

TLH partners should be positions you would hold indefinitely.

Paying capital gains taxes to get a 5 basis point expense savings is lunacy.
Amateur investors are not cool-headed logicians.

InvestInLife
Posts: 32
Joined: Mon Aug 22, 2016 2:36 pm

Re: Harvested, but to a higher expense ratio

Post by InvestInLife » Wed Oct 04, 2017 9:52 am

Great responses, thanks.

Post Reply