(August 2020)

Advisors with high net worth clients—which serve as a large majority—need to be very mindful of numerous Democratic tax proposals. Not only would Biden’s proposed tax plan raise income taxes to over 65% in California, and at least 52% everywhere in the US, but California has just proposed a wealth tax of 0.4% per year on all wealth over $30m per couple. The proposal seems likely to be passed because of Democrats’ super-majority in the state’s legislature. While Biden and the Democrats are still months away from the possibility of entering the White House, they are leading in the polls, which means advisors need to be aware of how these changes could affect advisors.


(New York)

FINSUM + MagnifiOne of the lesser known aspects of Biden’s tax plan is an effective doubling of capital gains taxes on those who earn over $1m. That means utilizing ETFs for tax efficiency is going to be more important than ever. Some sectors do this especially well—think Muni ETFs, dividend ETFs, even super diversified ETFs (since you get broad stock exposure without a lot of taxable events).

Magnifi is changing the way we shop for investments, with the world’s first semantic search engine for finance that helps users discover, compare and buy investment products such as ETFs, mutual funds and stocks. As of August 2020, 75,000 users with $210 Billion in Assets Under Influence, has used Magnifi over 225,000 times. Try it for yourself today.


This blog is sponsored by Magnifi. The information and data are as of the publish date unless otherwise noted and subject to change. This material is provided for informational purposes only and should not be construed as individualized investment advice or an offer or solicitation to buy or sell securities tailored to your needs. This information covers investment and market activity, industry or sector trends, or other broad-based economic or market conditions and should not be construed as investment research or advice. Investors are urged to consult with their financial advisors before buying or selling any securities. Although certain information has been obtained from sources believed to be reliable, we do not guarantee its accuracy, completeness or fairness. Past performance is no guarantee of future results. This content may not be reproduced or distributed to any person in whole or in part without the prior written consent of Magnifi. [As a technology company, Magnifi provides access to tools and will be compensated for providing such access. Magnifi does not provide broker-dealer, custodian, investment advice or related investment services.]