If John and Jane stick to their respective plans over 20 years, assuming a 10% annual gain:
- John will pay over $61,000 more in taxes over 20 years
- Jane will accumulate over $175,000 more in wealth
Remember – this assumes, John and Jane are equally skilled in investing! Using Jane’s approach looks really appealing, right?
By the way, we are not trying to disparage “Buy and Hold.” Many active traders apply a “buy and hold” strategy with most of their assets. We believe that when you are employing both active trading and “buy and hold” as pieces of your investment strategy, it’s nearly always most efficient to actively trade in a Tax Deferred Account and “buy and hold” in a taxable account.
Get Trading Ideas from Experts on Trade Exchange
Our company, Trade Exchange, provides a great way for investors to receive trading ideas and stay nimble in today’s market. We have a range of experts:
- Experienced in different industries
- Many who focus on technical analysis – looking at charts and trading patterns
- Others who follow macroeconomic trends (e.g., Covid, green economy, China) to identify opportunities
No matter what their approach is, each expert provides specifics on what to buy, when and at what price. You’ll also get guidance on when to sell: profit targets and when to cut losses. You get commentary on the “why’s” behind their recommendations. As market conditions evolve they adjust their trades and explain why: hedging against earnings, protecting profits, taking profits because the stock moved quicker than anticipated.
With the Trade Exchange, you have experts delivering trade ideas to you and monitoring the ideas for you. They are incented to deliver a profit for you because they only get paid when you win.
Learn More About the Trade Exchange
If you have not downloaded our app already, please do so in the App Store or on Google Play. Click here to learn how to get started with our app.
You can learn more about what’s been happening on our platform – see the top picks since November on our blog. Watch interviews with our experts on our YouTube channel.
Thanks for reading. Best of luck completing your taxes and wishing you the best of health!
Sincerely,
Kyle Okimoto, President – Trade Exchange