Definition of «asset location»

Asset location refers to the strategic placement or arrangement of one's assets, such as investments or savings, in order to minimize taxes and maximize benefits. It involves considering where to hold different types of assets, such as stocks or bonds, in various accounts like retirement or regular investment accounts. By choosing the right location for each asset, individuals can optimize their financial situation and potentially increase their overall wealth.

Sentences with «asset location»

  • This strategy has a couple of advantages: first, it allows the family to make the most tax - efficient asset location decisions. (moneysense.ca)
  • However, many investors may not have considered the additional importance of asset location — that is, in what types of accounts each of their investments should be held. (regentatlantic.com)
  • Over time, additional value can be added through timely rebalancing, tax - loss harvesting and careful asset location for maximum after - tax returns. (seasoninvestments.com)
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