Average Cost vs FIFO vs LIFO vs HIFO vs Specific Share Identification
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MachineGhost
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Average Cost vs FIFO vs LIFO vs HIFO vs Specific Share Identification
So what is everyone's choice of poison, and why?
"All generous minds have a horror of what are commonly called 'Facts'. They are the brute beasts of the intellectual domain." -- Thomas Hobbes
Disclaimer: I am not a broker, dealer, investment advisor, physician, theologian or prophet. I should not be considered as legally permitted to render such advice!
Disclaimer: I am not a broker, dealer, investment advisor, physician, theologian or prophet. I should not be considered as legally permitted to render such advice!
Re: Average Cost vs FIFO vs LIFO vs HIFO vs Specific Share Identification
Either LIFO or specific identification are usually the best.
Is HIFO a new choosable method or just another term for specific identification and finding the highest priced shares?
Is HIFO a new choosable method or just another term for specific identification and finding the highest priced shares?
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dualstow
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Re: Average Cost vs FIFO vs LIFO vs HIFO vs Specific Share Identification
For individual stocks, I use FIFO. I'm sure it's not ideal, but it just keeps things simple and consistent. I don't sell that often, either.MachineGhost wrote: So what is everyone's choice of poison, and why?
For index fund shares, I use average cost now that Vanguard offers it.
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Re: Average Cost vs FIFO vs LIFO vs HIFO vs Specific Share Identification
I use specific shares because it allows me more flexibility when/if tax loss harvesting.