The famously tax-efficient ETF market is about to add a new string to its bow, with the arrival of two funds offering a fresh way for investors to cut what they owe on capital gains.

The Cambria Tax Aware ETF (ticker TAX) and the Stance Sustainable Beta ETF (STSB) will each be seeded with the appreciated securities of wealthy investors, who will swap their assets for shares in the funds rather than buy into them with cash. That’s a way of disposing of holdings without actually selling, which would realize a taxable gain.

… the Cambria fund is directly inviting individual investors to bring appreciated stocks from wherever they are held.

“You’ll contribute your portfolio from Schwab, Fidelity, wherever it is,” said Meb Faber, co-founder and chief investment officer of Cambria Investment Management, the quant firm advising TAX. “Let’s say you’ve got $1 million in all these stocks, and then the next day you’ll have TAX ETF — and it’s not a taxable event.”

https://www.bloomberg.com/news/articles/2024-10-07...

This could be an opportunity for many longterm BRK holders. Could help them diversify without having to sell and pay CGT.

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