INVESTING FOR AFTER-TAX RETURNS

BlackRock's center for tax-efficient investing

Advisors are frequently asked about tax-efficient investing but often miss opportunities to help reduce the tax impacts on portfolios. There are numerous strategies to improve tax efficiency in portfolios. Access tools, investments, and insights to bring tax efficiency to your clients' portfolios today.
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The average tax cost for advisor portfolios is 3x the average fee

Advisors are often surprised to find that taxes are more detrimental to overall portfolio returns than fees. The average annual tax cost of 1.15% is 3x higher than the average portfolio fee of 0.37%.1 Now’s the time to take a tax-efficient investing lens to portfolios to help clients keep more of what they earn.

BlackRock’s tax-efficient investing strategies

Optimizing for after-tax returns can help investors keep more of what they earn. Tap into BlackRock’s platform for keeping tax management at the forefront of your investment process.

Asset allocation

Use client’s total portfolio goals, investment objectives and tax situation, to guide how you allocate across asset classes.

Asset location

Decide which type of account each asset class should sit in. Take a total relationship view when deciding between tax-exempt, tax-deferred and taxable accounts.

Vehicle selection

Select the vehicle (ETF vs. MF vs. SMA) and strategy (high vs. low turnover) that is best suited to meet your client's goals and tax situation.

Always-on monitoring

Incorporate tactical steps year-round to help keep client tax bills low. Monitor capital gains, consider tax loss harvesting, and trade with taxes in mind.
BLACKROCK RESOURCES: AFTER-TAX STRATEGIES

Explore tax-efficient investing strategies

BlackRock is a leader in indexing and tax-managed investing strategies to help you better serve your clients.2 We provide access to tax-efficient investing solutions across:

Active & index iShares ETFs

Select iShares funds indexed to S&P Dow Jones Indices.

ETFs have paid out significantly less distributions than mutual funds, even when actively managed. Over the last 5 years, 17% of active ETFs paid out a gain compared to 76% of active mutual funds.3

Explore tax-efficient ETFs Explore tax-efficient ETFs
BlackRock SMAs

Offerings across fixed income, direct indexing, active equity, and option overlays that can provide greater flexibility and control through personalization, transparency and maximizing after-tax return potential.

Explore SMAs Explore SMAs
BlackRock municipal platform

As one of the world’s largest municipal bond managers, investors can benefit from our trading scale and credit research across mutual funds, ETFs, and SMAs.

Explore municipal funds Explore municipal funds
Tax-aware model portfolios

BlackRock’s Tax-Aware model portfolios are built with the same core investment views as our flagship Target Allocation model portfolios, but with a focus on maximizing after-tax return potential.

Explore tax-aware models Explore tax-aware models

Tax-efficient investing solutions for high-net-worth clients

Tax-managed equity SMAs

Aperio Direct Indexing aims to increase after-tax returns with advanced tax loss harvesting strategies and can help facilitate in-kind transitions to help minimize disruption and unnecessary tax costs.
View tax-managed equity SMAs View tax-managed equity SMAs

Option overlay strategies

SpiderRock Advisors option overlays help manage the risk of low-basis portfolios with highly customizable approaches, including tax-neutral liquidations.
View options overlays View options overlays

You don’t have to spend hours collecting and analyzing the tax impact of capital gains on all your clients’ portfolios. Tax Evaluator aggregates and automates this process for you! With access to over 7,000 mutual funds and ETFs all in one place, you can create a detailed picture – in minutes. See which funds have reported estimated capital gains distributions before your clients incur the tax liability. You can also help your clients consider the benefits of tax loss harvesting by identifying funds with negative price returns. Additionally, compare fund characteristics and rankings to help clients make informed decisions about specific holdings. Use Tax Evaluator to track portfolios, identify potential tax savings, and help your clients keep more of what they earn. Run a tax analysis today at blackrock.com/tax.

Identify potential savings with Tax Evaluator

View capital gains estimates and identify potential tax loss harvesting opportunities to help minimize tax impacts for your clients.

Get started with Tax Evaluator Get started with Tax Evaluator

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