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Subject:  Re: tax deferred variable annuity Date:  12/10/1998  5:05 PM
Author:  ataloss Number:  7170 of 78166


I have recently talked myself into selling a fund I had held for 10 years. It had lagged the s&P 500 by a couple of percent per year. It took me a long time to decide to do this.

I did make a mistake in my previous calculation. I assumed that you lost 20% of the value of your funds immediately to capital gains taxes. This 20% loss, of course, only applies to the gains. If, say, half of your account value (x) is due to capital gains and half is due to contributions, after applying the capital gains tax, you will be starting