Asset Location
InvestingThe strategy of placing investments in the most tax-efficient account type — bonds in tax-deferred, stocks in taxable.
Example
Example: Consider an investor building a $100,000 portfolio. Asset Location — the strategy of placing investments in the most tax-efficient account type — bonds in — directly affects investment strategy and long-term returns. Getting this concept right can mean tens of thousands of dollars in difference over a 20-year period. Model your portfolio with our investment calculator.