Cutting ties with an underperforming advisor made me wonder if automatically harvesting losses within a Boglehead three-fund setup offers any real edge over basic low-cost investing.
i reckon tax loss harvestin isnt a miracle cure. in a simple portfolio its extra hassle that might only bring minor tax savins. depends alot on how active u wanna be in your investments.
Hey everyone, I’m curious—while tax loss harvesting doesn’t seem revolutionary, could its real benefit be in subtle adjustments over time? How has it affected your long-term investment outcomes in different market cycles?
I’ve been pondering this too. Tax loss harvesting might give an edge for some, but isn’t it just adding layers of complexity for those who enjoy simple investing? I’d love to hear if anyone here has seen consistent benefits over sticking with a low-cost approach.
Through my own practice of combining tax loss harvesting with a low-cost three-fund approach, I’ve discovered its potential advantages become more pronounced in volatile market periods. While the impact may not be dramatic in every year, the strategy can lower taxable income when executed with careful attention to rebalancing and timing. It isn’t a guarantee of outsized gains but rather a methodical device that, when applied judiciously, helps offset realized gains and maintain the overall efficiency of the portfolio, especially during downturns.