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A comment on At Blackrock, machines are rising over managers to pick stocks. Parent comment

Re:At Blackrock, machines are rising over managers to pick s... by loeg on Sunday April 02, 2017 @06:47PM (#14019476)
> I expect that there are tax advantages to holding individual stocks rather than an index fund.

None that I am aware of. Mutual funds can force capital gains realization, but ETFs do not.[0]

IMO there's no reason to roll your own index fund when you can just buy an ETF with a very low expense rate. If you have enough money that rolling your own (costs a fair amount to manage) is cheaper than the public fee, you might be eligible for a special shareclass rate anyway.

[0]: http://www.investopedia.com/articles/investing/090215/compar...

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Re:At Blackrock, machines are rising over managers to pick s... by wahnfrieden on Sunday April 02, 2017 @09:50PM (#14020126)
Here's one: as a US citizen living in Canada, I'm unable to invest in ETFs in Canada (e.g. Vanguard Canada's S&P500) without suffering punitive taxes and onerous reporting to the IRS. If it's an active investment, then it's fine, it's taxed as normal.
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