SMART ADVISOR MARKETING

“Taxable Payouts on Many Funds Are Set to Surge” was the Wall Street Journal headline. The article goes on to say that “Some fund experts predict this year’s mutual fund distributions will be the highest ever, despite the summer market turmoil.” They say, “Last year, mutual funds paid out $250 billion in capital-gains distributions, the highest level since 2000.”

Investors who own mutual funds in taxable accounts must pay tax on the funds’ reported gains, even if they never received them. Many funds reinvest their gains which leaves the investor paying taxes on income they have not received.

Now is the time to data mine for clients and prospects who have large mutual fund accounts. Take time to educate them about this news. Use your expertise to help them plan.

Looking for tools to help generate new business from this news? At BuildYourMarket.com, there are postcards that address the ‘capital gains’ surprise.