re: How much bloodletting is still left in this market correction?

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Guys, I want to take this thread on a different tangent. We owe a large tax bill next year due to capital gains from sellling stocks elsewhere. Is there anyway I can use part of the $15K loss from Vanguard to offset those gains?

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I’m surprised you could have so much money in a taxable account and aren’t unaware of harvesting losses, or at least don’t work with someone who could offer advice given the potential tax implications.

But yes you’re able to offset gains with losses. Although the losses will be applied to the comparable gain first (e.g., short, long term gains). And if there are any losses remaining, if you’re filing jointly, you can deduct up to $3000 in income taxes as well, and/or carry over losses to other year.

But can also harvest losses without the least subtle brag I’ve seen on here. So to make the brag worthwhile, I would recommend seeking professional advice given how much is in play.

Edit: And usually harvesting losses isn’t meant to stay out of the market after selling. In fact, usually the recommendation is to immediately buy a similar asset, without being too similar that it’s considered a wash sale. That being said, if 90% of your portfolio was VGT, and if my poor self was in your shoes, I would go a little broader and more diversified to limit risk with less volatility in a volatile market. Although I’m basing that on the 10 year performance, which still has high risk-adjusted returns but doesn’t include the last major crash.