Old Problems, New Solutions: Techniques for Solving Concentrated Stock Positions

Overview

Many CPAs have clients who hold positions in appreciated, concentrated stock.

In this webcast, we will explore the unique challenges, complexities and behavioral issues associated with these positions, drawing insights from the historical performance of individual stocks.

We also examine tax-efficient strategies to mitigate the downside risks of concentrated positions, focusing on their benefits and drawbacks.

The webcast includes an in-depth look at tax-aware strategies for concentrated stock diversification using margin and shorting.

Prerequisites

Basic understanding of investment principles and knowledge of tax implications of holding investments in taxable accounts

Objectives

• Apply the challenges, complexities and behavioral issues around concentrated positions.
• Determine the historical performance of single stocks relative to their index.
• Analyze some of the existing concentrated stock solutions.
• Distinguish the benefits and drawbacks of concentrated stock diversification using margin and shorting.

Highlights

• Understanding the challenges and behavioral issues of concentrated stock positions
• Learning tax-efficient strategies to mitigate downside risk in concentrated positions