the math really depends on the returns of the current fund and the alternative investment for the next 5 years.
You'll need to make some assumptions and run the numbers at different returns to see which is more favorable.
personally, I'd take the market return of an ETF and the double-taxable-event than risk the expensive fund becoming a dog for 5 years and then add to the pain by paying less tax because you end up with less money.
BTW, you didn't ask, but are you OK with investing funds needed to purchase a home in 5 years in a "growth mutual fund" which is presumably all stocks? This might be the right time to remove some risk from the investment.
You'll need to make some assumptions and run the numbers at different returns to see which is more favorable.
personally, I'd take the market return of an ETF and the double-taxable-event than risk the expensive fund becoming a dog for 5 years and then add to the pain by paying less tax because you end up with less money.
BTW, you didn't ask, but are you OK with investing funds needed to purchase a home in 5 years in a "growth mutual fund" which is presumably all stocks? This might be the right time to remove some risk from the investment.
Statistics: Posted by NateH — Thu May 09, 2024 9:48 pm — Replies 8 — Views 492