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BruceM, et al;

I appreciate the help. Could you elaborate on the following statement?

But what tax deferred plans do that provides a disincentive to long-term growth stock pickers is convert capital gains into ordinary income. This is why there is a growing number of savers who invest the growth component of their retirement savings in growth stock ETF's, where future withdrawals will be taxed at capital gains rates, are tax efficient and ultra low cost along the way

How do tax deferred plans convert capital gains into ordinary income? Are you referring to when the individual retires and begins drawing down the account, converting their investment into useable income? Also what is the process you are referring to when you talk about investing the growth component of the retirement savings into growth ETF's? Is this something one could/should be doing when they retire?
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