Optimizing Your Portfolio with Tax-Loss Harvesting

One of the most powerful advantages of direct ownership is the ability to perform granular tax-loss harvesting.

ETFs vs. Direct Ownership

When you own an ETF, you can only harvest a loss if the entire index is down. But even when the S&P 500 is up 10%, there are often dozens of individual stocks within that index that are down for the year.

With OwnETF, you can sell those specific losing positions to offset your capital gains, while simultaneously maintaining your index exposure by buying similar stocks or waiting to rebuy. This "tax alpha" can add significant percentage points to your after-tax returns.