Seminar 217, Risk Management: Optimal Tax-loss Harvesting of Municipal Bonds (Online)

Seminar 217, Risk Management: Optimal Tax-loss Harvesting of Municipal Bonds (Online)

Mar 9, 2021, 11:00 AM - 12:30 PM | Online | Happening As Scheduled
Andrew Kalotay, Kalotay Analytics (Speaker)

ABSTRACT: We will discuss how to quantify the benefit from selling a muni at a loss, and how to determine the optimal time to sell. Calculating the benefit from tax-loss harvesting is more complex for munis than for stocks. Muni prices below par are depressed by the tax cost payable by the marginal buyer. But the ‘hold’ value to the seller depends on the price at which the bond was acquired....