Hi, Shrewd!        Login  
Shrewd'm.com 
A merry & shrewd investing community
 Best Of MI | Best Of | Favourites & Replies | All Boards | Post of the Week! ¤
Search MI
Shrewd'm.com Merry shrewd investors
Best Of MI | Best Of | Favourites & Replies | All Boards | Post of the Week! ¤
Search MI

Investment Strategies / Mechanical Investing
Unthreaded | Threaded | Whole Thread (9) |
Author: rayvt ✧  😊 😞
Number: of 4356 
Subject: Re: Pure RS screen
Date: 09/21/2025 12:01 PM
Post New | Post Reply | Report Post | Recommend It!
No. of Recommendations: 6
obviously I meant "get long term US capital gains tax rates"; with that benefit your real return shoots up if you are trading in a taxable account.

Best to do this type of frequent trading in an IRA or ROTH.


There is a saying "Don't let the tax tail overrule your return dog."

Running the same GTR backtests, Sp500 rrs(1,252) top 10, HTD 12, for 20 days and same for 252 days,
top 10 is CAGR 16.0% vs. 13.8%
Top 5 is CAGR 19.7% vs. 14.1%

Nasdaq100,
top 10 23.6% vs. 14.5%


LTCG tax rate is 15%

Sort term rate is same as ordinary income rate, generally for most of us, 22% or 24%.
12% if you are broke. But broke people don't generally invest. ;-)

So, which is better? 15% tax on 13.8% or 22% tax on 16.0%.


Post New | Post Reply | Report Post | Recommend It!
Print the post
Unthreaded | Threaded | Whole Thread (9) |


Announcements
Mechanical Investing FAQ
Contact Shrewd'm
Contact the developer of these message boards.

Ticker or Board Name Author

Best Of MI | Best Of | Favourites & Replies | All Boards | Followed Shrewds