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From: jwp@uwmacc.UUCP (Jeffrey W Percival)
Newsgroups: net.invest
Subject: Mutual fund switching: Beware!
Message-ID: <2019@uwmacc.UUCP>
Date: Thu, 6-Mar-86 20:32:29 EST
Article-I.D.: uwmacc.2019
Posted: Thu Mar  6 20:32:29 1986
Date-Received: Sun, 9-Mar-86 08:18:59 EST
Distribution: net
Organization: UWisconsin-Madison Academic Comp Center
Lines: 11

I've seen several postings talking about mutual funds that
are actually a family of funds, which allow switching money
from fund to fund, with just a phone call, with no load, etc.
It's my understanding that the IRS considers each such switch
a sale and a purchase, exposing you to capital gains taxation
on each switch.  If true, this would seriously erode the
advantage such switches would offer in getting your money in
the right fund at the right time.  Comments?

-- 
	Jeff Percival ...!uwvax!uwmacc!jwp