Gil’s Musings

Profound Power Of The Unrealized Gain

unrealized gain

Gil published a piece in Forbes Council titled, “The Profound Power Of The Unrealized Gain.”

Unrealized gains have a benefit that doesn’t show up in percentage return.

“Money managers and hedge funds hang their hats on their trading prowess and the glory of periodic home runs. Any success they have provides good cover for the high expenses endemic in the business.

Yet, the proposal of these active management proponents is itself questionable when you consider the overwhelming likelihood of underperformance when the dust settles. Moreover, the questionable turns downright dubious after you consider the near-certain detrimental tax consequences of the process itself.”

Read the entire article on Forbes.com.

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