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What is a Stock-level Tax-Loss Harvesting exclusion list? How does it work?

The stock restrictions list is designed to make sure stocks that you are restricted from trading will never be traded in your Wealthfront account.

If you add a stock that we would normally hold in a Stock-level Tax-Loss Harvesting position (such as a company in the S&P 500 or the S&P 1500 index), we will not purchase it on your behalf. Instead, we will buy other stocks from the associated index to make sure that your Stock-level Tax-Loss Harvesting position still accurately tracks the broad US stock market. Placing a security on your restrictions list after we've purchased it means we won't trade it going forward. This means we won't sell the current shares or buy additional shares.

Please note that trade restrictions may change your risk and expected returns, and impact your portfolio's performance.

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