Top Year-End Investment Tips

This is the time of year to take a moment out from the holiday chores to make some strategic saving and investing decisions before December 31. It can affect not only your long-term ability to meet your financial goals but also the amount of taxes you’ll owe next April. Here are some year-end investment tips that can prepare you for the new year ahead.

Look at the forest, not just the trees

The first step in your year-end investment planning process should be a review of your overall portfolio. That review can tell you whether you need to rebalance. If one type of investment has done well — for example, large-cap stocks — it might now represent a greater percentage of your portfolio. Your overall review should also help you decide whether that rebalancing should be done before or after December 31 for tax reasons.

Make lemonade from lemons

Now is the time to consider the tax consequences of any capital gains or losses you've experienced this year. Though tax considerations shouldn't be the primary driver of your investing decisions, there are steps you can take before the end of the year to minimize any tax impact of your investing decisions.

Tips on year-end giving

With the holiday season upon us, we pause to give thanks for our blessings. It’s also a time when charitable giving comes to mind. Here’s a few tips on year-end giving:

  1. You may be able to sidestep capital gains taxes and get a deduction by making a charitable donation of securities that have risen in value but no longer fit your strategy.
  2. If you make a charitable donation of an investment that's worth less than you paid, you can only deduct its market value, not what you paid for it. Ask your tax professional if you might be better off selling and deducting the loss.

Plan for tomorrow. See a financial advisor today.

Schedule an appointment online at rbfcu.org/investments.

1-888-294-0202 | rbinvestments@rbfcu.org

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Article prepared by Broadridge Investor Communication Solutions, Inc. Copyright 2018; September 2018

RBFCU Investments Group LLC is a wholly-owned subsidiary of RBFCU Services LLC. RBFCU Services LLC is affiliated with Randolph-Brooks Federal Credit Union (RBFCU). Securities sold, advisory services offered through CUNA Brokerage Services, Inc. (CBSI), member FINRA / SIPC, a registered broker/dealer and investment advisor. CBSI is under contract with the financial institution to make securities available to members. Not NCUA/NCUSIF/FDIC insured, May Lose Value, No financial institution guarantee. Not a deposit of any financial institution. FR-2277361.1-1018-1120.