#28 Money Finance #28

  Tax Treatment of Carbon Credit Futures for Eco-Investors As sustainability and emissions trading go mainstream, more investors are turning to carbon credit futures as a way to hedge climate exposure, support ESG goals, and capture new returns. But how are these instruments taxed in the U.S.? Do they qualify for the favorable 60/40 treatment under Section 1256? This guide explores the tax implications of trading carbon credit futures — including mark-to-market rules, capital gains treatment, and wash sale considerations for eco-investors and institutions alike. 📌 Table of Contents What Are Carbon Credit Futures? Are Carbon Futures 1256 Contracts? Tax Reporting and Capital Gains Allocation Institutional vs. Retail Tax Considerations Common Mistakes and Audit Triggers Further Resources 🌱 What Are Carbon Credit Futures? Carbon credit futures are standardized contracts that allow traders to buy or sell carbon emission allowances at a future d...

  Self-Directed 401(k) for Buying Tax Liens & Deeds 📌 Table of Contents What Is a Self-Directed 401(k)? Why Use It for Tax Liens and Deeds? How to Structure These Investments Tax Benefits of This Strategy IRS Rules and Compliance Tips Conclusion What Is a Self-Directed 401(k)? A Self-Directed 401(k)—also known as a Solo 401(k)—is a retirement account designed for self-employed individuals and small business owners with no full-time employees. What makes it “self-directed” is the ability to invest in **alternative assets** beyond stocks and mutual funds—like real estate, private equity, cryptocurrency, and **tax liens or deeds**. This strategy enables hands-on investors to pursue high-yield, tax-advantaged opportunities using retirement savings. Why Use It for Tax Liens and Deeds? Tax liens and deeds are high-interest, collateral-backed instruments available through county auctions when property owners fail to pay taxes. Returns can range ...

  How to Invest in Global Trade Finance Funds Global trade is the lifeblood of the modern economy, and behind every container ship and invoice lies a system of short-term lending known as trade finance. Trade finance funds offer investors exposure to this often-overlooked market, combining low volatility with consistent returns—typically uncorrelated with traditional asset classes. In this guide, we'll explain what trade finance is, how the funds operate, and how retail and institutional investors can get involved. Table of Contents What Is Trade Finance? How Trade Finance Funds Operate Benefits for Investors Risks and Considerations How to Invest in Trade Finance Conclusion What Is Trade Finance? Trade finance refers to the financing of goods or services in international trade transactions. It includes instruments like letters of credit, invoice factoring, and supply chain finance. These instruments help bridge the payment gap between exporters and import...

  How to Build a Portfolio of Intellectual Property (IP) Royalties Intellectual property (IP) royalties have emerged as an exciting alternative investment for those seeking passive income and portfolio diversification. Whether it’s music royalties, patent licensing fees, book rights, or trademark revenues, owning IP can generate steady cash flows while offering protection from market volatility. In this article, we will explore how IP royalties work, why they attract investors, how to build a royalty portfolio, and what risks to watch out for. Table of Contents What Are IP Royalties? Why Invest in IP Royalties? Types of IP Investments How to Build an IP Royalty Portfolio Risks and Considerations What Are IP Royalties? IP royalties are payments made to owners of intellectual property when others use their creations, inventions, or brands. Examples include royalties from songs played on the radio, patented technologies licensed to companies, or trademarks ...