Many affluent clients hold highly appreciated, concentrated stock positions but hesitate to diversify because of the significant capital gains taxes that may result from selling. While Exchange Funds have historically been one option, many advisors are unfamiliar with 351 ETF Exchanges that may offer greater flexibility and accessibility. Join hedged-risk investment experts Phillip Toews and Eben Burr for an in-depth discussion of 351 ETF Exchanges — an emerging strategy designed to help investors diversify concentrated equity positions while deferring capital gains taxes.
Attendees will learn:
- How 351 ETF Exchanges work and how they differ from traditional Exchange Funds
- Which securities and portfolios may qualify
- Key diversification and contribution requirements
- The operational mechanics of the exchange process
- Potential advantages, limitations, and planning considerations
- How Behavioral Portfolio® management may support ongoing risk management and portfolio flexibility
This session is designed to help financial advisors better understand an advanced tax-deferral strategy that may benefit clients with concentrated positions in appreciated publicly traded securities.