It’s time to make your portfolio work harder with the latest advanced portfolio management strategies. Find out why law partners nationwide trust the Magnolia team.
Magnolia is a research driven wealth management firm dedicated to providing innovative solutions to high-net-worth families. Over the past decade we have deployed sophisticated investment strategies designed to enhance the pretax return of client portfolios while deferring capital gains and realizing tax losses. We believe many wealth mangers struggle to deliver compelling results for taxable investors for the following reasons:
Investors may hold underperforming high fee funds but are reluctant to sale and recognize capital gains taxes.
Over time an equity allocation that was intended to match a broad market index like the S&P 500® may drift and not include today’s market leaders like Nvidia.
Basic tax-loss harvesting strategies only benefit investors in the short-term and provide limited value over longer investment horizons.
Both Equity and Non-Equity Law Partners receive substantial income that is subject to ordinary income tax with limited planning opportunities beyond tax deferred retirement plans to reduce their annual tax burden.
Law Firm Partner in New York City
(Legacy Stock, Mutual Fund, and ETF holdings)
CTAS will generate approximately $160,000 in short term loss for the investor. The CTAS Plus Hedge Fund provides the following tax benefits (Actual 2023 Results) based on maximum federal tax rates (state/city income taxes excluded):
CTAS is a partnership between Magnolia and leading quantitative asset managers, CTAS provides a better solution for generating tax losses than basic tax-loss harvesting, direct indexing, and other tax mitigation strategies. CTAS starts with your existing portfolio (or cash) and increases its size by buying additional stocks.
This extension of the portfolio will gain or lose value in the same direction as the market. Simultaneously, the portfolio is brought back to its original size by selling other stocks short. This short extension responds in the opposite direction. Together, the extensions maintain the portfolio’s original sensitivity to market movements.
Managing Partner
