Advisor Flipbooks

6 Smart tax overlay can provide ongoing portfolio efficiency. Daily tax management helps harvest meaningful capital losses throughout the year, minimize realized gains while considering portfolio optimization and trading costs, and avoid wash sales within accounts. By staying invested and seizing strategic loss-harvesting opportunities, investors can reduce current tax liabilities to support long-term wealth. The opportunity to harvest losses offers investors multiple tax benefits: I M M E D I ATE B E N E F IT A reduction in tax liabilities when the harvested losses are used to offset realized gains and income F UTU R E B E N E F IT Higher terminal wealth through the potential growth of assets not used to pay taxes We seek tax-loss harvesting opportunities daily, but we also recognize that potential benefits may be limited and should be weighed against both real and opportunity costs. Said differently, blindly harvesting any losses can lead to substantial turnover and trading costs. That's why SEI's tax overlay process focuses on meaningful tax-loss harvesting opportunities, where the potential tax benefits are anticipated to outweigh expected trading costs, without compromising portfolio optimization or risk. Coordinated trading and gain deferral work together in an effort to maximize after-tax returns throughout the year. Bringing personalization and potential tax benefit to investors With more than two decades of tax management expertise and results, SEI understands the importance of an integrated approach to tax management—covering gains, losses, and optimization—at every stage of the investment lifecycle. Our proven, flexible process simplifies the complex by delivering highly personalized, tailored solutions.

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