UBS Acquires Wealthfront for $1.4B

Re:UBS Acquires Wealthfront for $1.4B by hedora on Wednesday January 26, 2022 @01:24PM (#30089539)

Their computer sells stuff and then buys stocks that are heavily correlated to the sold stock.

Later, it unwinds the imbalance to avoid realized gains and wash sales. Doing that without impacting long-term returns is one of their biggest value adds.

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Re:UBS Acquires Wealthfront for $1.4B by endisneigh on Wednesday January 26, 2022 @02:03PM (#30090158)

My point is that even if it was literally the same stock, unless you know that you bought at the relative bottom all you’re doing is needlessly incurring loses.

For example you’re better off just buying the dip, then selling, and paying taxes (even with harvesting) and repurchasing assuming the stock recovers and you don’t mind fronting the capital

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