Q: Sold both for tax loss.
Wondering about proxies for both. Could you suggest a couple? If the proxy goes up in the 30 days, I presume you would keep the proxy until it changed direction. What is the thinking on this process. What if it goes down?
Thanks on your thoughts
John
Wondering about proxies for both. Could you suggest a couple? If the proxy goes up in the 30 days, I presume you would keep the proxy until it changed direction. What is the thinking on this process. What if it goes down?
Thanks on your thoughts
John
5i Research Answer:
We think T is a good proxy for BCE and SHOP for LSPD.
'Keeping' a proxy equates to market timing. We would continue to look at fundamentals but we would be less inclined to keep a proxy if that was specifically the goal. If a proxy declines one can take the loss and make the switch still.
The key to a proxy is that an investor 'prefers' the stock solid and the proxy is specifically designed as a temporary tax measure.