Investment can incur losses and you need to have a way out to beat those losses. This is important if you desire to secure your savings. The loss deductions originating from the net trading losses can be creatively invested.
Here are three basic options:
You can go for the S&P futures – Once you own an S&P 500 Index fund, the 2.5% yield is sure to benefit you. With Obama planning to raise the dividend tax by just 20%, the investor will be able to effectively secure his savings. It is usually noticed that the stock yields are higher compared to the short-term interest rates. If the Treasury’s yield 0.5%, the stocks yield 2.5%, the futures offer you 2% annualized discount to the spot price. For you, the capital gains will be tax-free.
Go for the Short Treasury Bonds – If you’ve suffered trading loss, the investment income will be tax-exempt. The interest rate that is currently 0% for you will rise as the bond matures. Here, you need to take investment advice from an investment broker. It is advisable to lock the bond with a term-purchase agreement.
Exit the bonds prior to the dividend – Once you redeem the bond before the stipulated date, a good section of your interest incomes can be converted to capital gain. If you are tax-deferred, the distribution of your taxable income need not bother you.
Written by srini on September 13th, 2009 with no comments.
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It has been often found that immigrants evolve into millionaires in an apparently easy fashion. As you delve deep into the system and broaden your observation, you would notice that the secret lies in the manner in which these immigrants make good use of the available opportunities. They take decisions with a fair amount of farsightedness that stems from well-informed state of mind and awareness regarding the law of the land. It is a psychological state where the immigrant leaves his country as the opportunities and freedoms are limited.
He harbors a steadfast belief that if he makes good use of these opportunities, he would surely be able to become a millionaire. The locals of the country regard these opportunities as their birthright, and they end up under-utilizing them to their fullest potential. The immigrant on the other hand regards these opportunities as some sort of a gift from God. They work extremely hard on them and are fired with the burning passion to excel beyond limits.
A few of the aspects that can be mentioned in this regard are:
- Superior industrial technology
- IT related advantages and software
- Systems that deliver
- Import export opportunities
- Diverse business opportunities and education
- Exposure towards the secrets and details that promote life and success
- Infrastructure like housing, telecommunication and other associated features
- Superior legal system and arguably the most important – respect for human rights and freedom
Written by srini on September 13th, 2009 with no comments.
Read more articles on Immigrant Success Stories.