Summary The BOXX ETF provides returns that closely track those of Treasury bills. Due to a quirk in the US tax code, BOXX ETF profits are taxed as capital gains, not investment income. That means that long-term holders of BOXX pay long-term capital gains rates which can be much lower than ordinary income tax rates. Read More
Review of Bitcoin spot ETFs
Summary The introduction of Bitcoin spot ETFs on Jan. 11 added a new class of products for investors looking for exposure to Bitcoin. We recommend that holders of existing Bitcoin ETFs (GBTC and BITO) consider selling their positions. Most investors should move to iShares or Fidelity ETFs, with Bitwise also being a reasonable alternative. Bitcoin ETFs Read More
Fourth Quarter Stock Market Rally?
2023 has been a challenging year for investors thus far due to conflicting data surrounding the health of the US economy. Many expected a new bull market following the simultaneous bear market in stocks and bonds in 2022. However, the data underlying the year-to-date stock market advance tells a different story. Historically leading up to Read More
From the Trading Desk: New and Uncertain Times
In my previous post, I discussed the S&P 500 Index (SPX) and the potential that a new bull market may have commenced beginning June 7th. June and July were good months for stocks with the SPX finishing up 3.11% in July and the NASDAQ Composite closing July up over 4%. August has been an altogether Read More
From the Trading Desk: A New Bull Market?
Stocks ended the trading day higher on Thursday June 7th, and according to mainstream media the S&P 500 index has officially entered a new bull market. The Federal Reserve began their hiking campaign over a year ago on March 16th, 2022, to tame inflation. Over the past year, the Fed has hiked interest rates by Read More