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Thursday, May 21, 2009
ETF's Very Tax Efficient
These mutual/type funds are very tax efficient. Why? Because there is usually little turnover. So if you have a mutual fund that fund will buy and sell stocks and create capital gains even if that fund loses money for the year. ETF's may not do that as much because they are looking more at the day to day trading habits that come with the market. It's still a traders market so be careful out there.
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