It's the magnitude of changes people are concerned about. If the Fed decides to tighten more aggressively, both in time frame and in magnitude, that could put a strain on the market as a whole.
Some of these funds are pretty good.
People are saying, 'Okay, I'm ready to go play in the equity markets again.
The tax drag is just a really big issue. People just don't have it on their radar screen yet and they really should.
Next year, I think the average equity fund will lose 1.5 (percentage points) of its return to taxes. If you don't like investing in funds that have an above-average expense ratio, I'm not sure why you'd want a fund with an above-average tax burden, at least not for an account where taxes are going to matter.
If managers find a diamond in the rough, good research pays off.
This is an area where people can look for current income, especially when they're in the upper tax brackets.
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