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Throw in GLD and TLT! :)
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Throw in GLD and TLT! :)
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Throw in SLV too. It's going to be bonds, real estate, gold and silver for a little while now. Wow.
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Throw in SLV too. It's going to be bonds, real estate, gold and silver for a little while now. Wow.

If you want to invest in precious metals and do not want to keep it in your toilet tank, in a cookie jar, or buried in your back yard, you might prefer PHYS and PSLV. They have actual metal stored at the Royal Canadian Mint, instead of a mix of the metals and derivatives that the other funds seem to have.
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Sector rotation is "MI" and the one I use has had me in gold for a few months.
So it is a function of which MI screen.
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Concur, which is the intent behind the phrase "MI screens" meaning traditional MI screens of individual stocks using the screen definitions managed and posted here.

Sector or asset class rotation based on absolute or relative momentum is not that.
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I own gold miners stocks instead of gold to avoid the k1.
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I own gold miners stocks instead of gold to avoid the k1

Do you mean this K-1?

https://www.irs.gov/pub/irs-pdf/f1120ssk.pdf

I do not see how I would need to file that if I bought physical precious metals.
I do have to pay end-use-tax to my state (same rate as sales tax) if I buy from out of state.
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I bought a commodities ETF, and was sent one.
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I own gold miners stocks instead of gold to avoid the k1 . . .
I do not see how I would need to file that if I bought physical precious metals.


Taxes can be complicated and K-1's can be a royal pain.

First many commodity ETFs like for example PowerShares DBC are structured such that they do indeed
require you to file a K-1. A list of commodities ETF with and without K-1 requirements.
https://www.etf.com/sections/features-and-news/k-1-taxes-hur...

And if you hold actual precious metals which I believe holding PHYS or PSLV would be considered.
The IRS considers precious metals to be collectibles like art, rare books and fine wine. Provided you hold it for more than 1 year, the capital gains tax on your net gain from selling a collectible is 28%. This level of tax is considerably higher than the tax rate on most net capital gains, which is an average of 15% for most taxpayers, according to the IRS.1 If you sell a collectible in less than one year, the proceeds will be taxed as ordinary income.
http://sprott.com/investment-strategies/physical-bullion-tru...

Most of the time a K-1 isn't too complex but from personal experience I found out that isn't always the case.

RAM
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"I own gold miners stocks instead of gold to avoid the k1 . . ."
I do not see how I would need to file that if I bought physical precious metals.


Taxes can be complicated and K-1's can be a royal pain.


I had the misfortune to own stock in a little corporation where I had to file K-1, and it was a royal pain. First of all, I could not deduct the losses made. And so on.

But I see no need to file a K-1 if you are buying or selling physical precious metals. You do have the capital gains problems to which you referred.

And if you hold actual precious metals which I believe holding PHYS or PSLV would be considered.

You do not own actual precious metals if you own PHYS or PSLV. You would own shares of stock in the trusts; the trusts own the precious metals. Consequently, you might well wish to file IRS form 8621 to escape taxation at the collectibles rate of 28% and get taxed at your normal capital gains rate.
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<First many commodity ETFs like for example PowerShares DBC are structured such that they do indeed
require you to file a K-1. A list of commodities ETF with and without K-1 requirements.
https://www.etf.com/sections/features-and-news/k-1-taxes-hur...

Among them is PDBC [The Invesco Optimum Yield Diversified Commodity Strategy No K-1 ETF (Fund)]. 60 day correlation with DBC over the last year was never less than 0.98.

:-)Shawn
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