We use the internal rate of return (IRR) of the incremental value of Daily Tax-Loss Harvesting (TLH) for your investment horizon and income level to project the potential incremental value of TLH for your account. The realized value of tax-loss harvesting varies with multiple dimensions, including marginal tax rates, investment horizon, frequency of additional deposits and whether the portfolio undergoes is liquidated at the end of the investment horizon.
Nothing in this blog should be construed as tax advice, a solicitation or offer, or recommendation, to buy or sell any security. Financial advisory services are only provided to investors who become Wealthfront Inc. clients pursuant to a written agreement, which investors are urged to read carefully, that is available at www.wealthfront.com. All securities involve risk and may result in some loss. For more information please visit www.wealthfront.com or see our Full Disclosure. While the data Wealthfront uses from third parties is believed to be reliable, Wealthfront does not guarantee the accuracy of the information.