Equity ideas for tax-loss selling season

As 2018 winds down with another bout of market volatility, investors may be seeking advice about the best candidates in their portfolios for tax-loss selling.

National Bank Financial points out that with 74% of the S&P/TSX Composite’s names seeing negative price returns for the year to date—133 of them declining by more than 10%—there’s no shortage of options.

In its latest ETF strategy note, the bank has put together a sector-by-sector list of 38 stocks that have seen such declines and have approximately 3% minimum weight inside a corresponding ETF and at least 50% return correlation.

Not surprisingly, basic materials and energy take up a large share, but consumer staples, financials and marijuana aren’t spared.

The last day to recognize a capital loss for tax purposes this year is Dec. 27, the report says.

Read the full report here.

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.