Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Biotech / Medical : taxloss selling -- Ignore unavailable to you. Want to Upgrade?

To: Extra Pale who wrote (10)	10/8/2000 1:27:09 PM
From: Extra Pale	Respond to of 16

For what its worth - comments from an analyst: First Albany's Johnson believes more tax-driven selling will occur in December. ``This year, investors have a strange mix of gains and losses,'' Johnson said. ``They have gains from previous years. And this year, they have losses. ``So we'll see a lot of tax-driven selling -- selling stocks at losses and using the losses to harvest gains'' elsewhere in investors' portfolios, he explained. ``Let's say there's an individual with a big gain in Qualcomm. They don't want to sell it and have a big capital gain'' to pay tax on. ``This year, maybe they have a loss in P&G or Gillette. So they'll sell P&G or Gillette at a loss and use the loss to offset the gain in Qualcomm. So you have no tax on the capital gain. It's a wash.'' This year-end selling probably won't have that much impact on the market, as investors will ``probably turn around in 30 days and reinvest in some of the stocks they sold.''