Tax-loss trading and wash sales
By: Mark Grinblatt, Matti Keloharju.
Contributors: Keloharju, Matti.; National Bureau of Economic Research.
Series: NBER working paper series -- no. 8745; Working paper series (National Bureau of Economic Research) -- working paper no. 8745.
Publisher: National Bureau of Economic Research
Published: 2002
Place of publication: Cambridge, MA
Language: eng
Number of pages: 36
Subjects: Stocks -- Prices -- Finland.; Capital losses -- Finland.; Taxation -- Finland.; Rate of return -- Finland.
Description: "An analysis of trades in the Finnish stock market around the turn of the year shows that Finnish investors tend to realize losses more than gains towards the end of December. They also buy back the same stocks recently sold, with a repurchase rate that depends on the size of the capital loss and how close the sale is to the end of December. The resulting net buying pressure from these 'wash sale' repurchases is greater for stocks with small market capitalizations and has a calendar pattern that is similar to that of stock returns." -- abstract.
Notes: "January 2002."

JEL no. G0, G1.

Includes bibliographical references (p. 26-28).

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