Everyone's tax circumstances are unique, which is why we offer the Tax Protection. This feature comes with three parts: Tax-Loss Harvesting, Selective Trading, and IRAutomation.
Tax-Loss Harvesting requires that you have a taxable Personal Investment Account open with Axos Invest Managed Portfolios (an account other than an IRA). Our Tax-Loss Harvesting feature does analyze across all of your Managed Portfolios accounts, including your Managed Portfolios IRA(s), to minimize wash sales. Using an auto-deposit can help maximize Tax-Loss Harvesting’s potential to harvest investment losses.
Selective Trading is designed for clients who are at risk of wash sales by trading the same ETFs in outside investment account(s) as those traded in their Managed Portfolios portfolio(s).
Other than Tax-Loss Harvesting, this feature can be beneficial in certain situations:
- If you own a specific ETF in accounts not with Axos Invest Managed Portfolios
- If you do not want a specific ETF in your Managed Portfolios account
- If you’re restricted from owning a specific ETF
Please keep in mind that removing an ETF using Selective Trading will liquidate that holding and may result in tax consequences.
IRAutomation helps you set your retirement and tax savings on auto-pilot each year. Managed Portfolios offers IRAs as part of the IRAutomation feature, including Traditional IRAs, Roth IRAs, and SEP IRAs.
IRAs provide valuable tax benefits to incentivize us to save for retirement each year. To attempt to capitalize on these incentives, Axos Invest Managed Portfolios adds an automation feature that separates our management from the way others may manage your IRA.
From guidance on choosing your IRA to managing your annual deposits to starting a year-end conversion, IRAutomation will let you set your annual retirement strategy, monitor its course, and make adjustments automatically each year.
IRAutomation also offers the ability to do IRA Conversions for clients who wish to contribute to a Roth IRA for the calendar year but aren't eligible due to IRS restrictions. You can learn more about Roth IRA eligibility here.
As you decide whether this feature is for you remember to consult the overview, eligibility, and pricing tabs. As prior to any investment decision, you should always consult a tax professional before turning on any of the features.
To turn on Tax Protection or to learn more, go to the Packages section of your account: https://axosinvest.com/dashboard/plans
Axos Invest, Inc., and its affiliates do not provide tax, legal or accounting advice. This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal or accounting advice. You should consult your own tax, legal and accounting advisors before engaging in any transaction.