2 hours ago
Take some steps to save on taxes arising from your investments
Big returns in 2024 will likely result in higher taxes when they file their returns next spring, but investors can take some steps now to minimize the impact.
Jared Woodard, investment and ETF strategist at Bank of America, said people should check their investment portfolios and consider ways to make them more tax efficient.
First, consider converting some of your existing mutual funds to exchange-traded funds. Mutual funds may spin out large amounts of year-end capital gains distributions as managers sell their holdings to cash out retiring investors.
You can also reconsider your asset allocation and location. Treasurys, money market funds, and other fixed income assets spin out interest that is taxed as ordinary income at the federal level. You may be better off keeping it in a tax-deferred account.
Click here for more tax-saving tips.
— Darla Mercado
3 hours ago
House proposed TikTok divestment or ban bill could have wide-ranging implications for stock markets, strategists say
The House of Representatives passed a bill Wednesday that would give Chinese company ByteDance about six months to sell TikTok before it is banned from U.S. app stores.
The bill now goes to the Senate. Jay Woods, chief global strategist at Freedom Capital Markets, said the bill, if passed by Congress, could have a major impact on a wide range of technology sectors.
“If we wanted ByteDance to sell TikTok and sell it, who would be big enough to buy it? It would probably be one of the mega-cap names – Alphabets, Metas, maybe Microsoft. “We’ve seen so many regulatory hurdles in smaller transactions,” he said, citing the JetBlue-Spirit Airlines merger being blocked.
In addition to political stances, the bill could also affect stocks with China exposure, such as Apple and Tesla. Shares of two members of the Magnificent 7 have already fallen in recent weeks due to weak sales in the Chinese market.
“If China was going to retaliate, it probably wouldn’t go after some of the more exposed consumer goods in China, but it could happen,” he added.
— Lisa Kailai Han
3 hours ago
Stocks with the biggest price movements due to extended trading hours: Robinhood, Sentinel One, etc.
These are the most moving stocks in after-hours trading:
- Robinhood — The fintech stock rose 8% after releasing certain monthly operating data for February 2024.
- SentinelOne — Cybersecurity stock fell 10% even though fourth-quarter earnings and revenue beat LSEG expectations.
- Under Armor — Shares rose less than 1% after the sportswear company announced CEO Stephanie Linartz was stepping down.
Read the complete list of transferred stocks here.
— Lisa Kailai Han
3 hours ago
