This is how investors draw cash from their securities account

This is how investors draw cash from their securities account

Anyone who invests fairly widely in equities and did not start investing shortly before the start of the Ukraine war should have profits on paper. If cash is needed, these can be realized. However, even investors with cash needs should not sell their entire winning positions if possible. Instead, for example, only sell enough stocks or fund shares to restore the original weight of the position in the portfolio. Or just so many that the cash requirement is covered – if this is not too high. In short: better trim the depot winners than shave them completely.

Also read: Help, my portfolio is doing well!

Attention: When calculating the income, do not forget the taxes. 25 percent withholding tax is due on interest, dividends and income from the sale of securities, plus a 5.5 percent solidarity surcharge and, if applicable, church tax. Only fund shares that were purchased before the introduction of the withholding tax in 2009 can be sold partially tax-free. Special tax rules apply here.


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