2。

Youholdalargepositioninacompany。

Youbelievethatthenextsetofresultswillbepoor,andyoudliketotakeadvantageintheshortterm。

Butlong-term,yourehappytoholdCompanyAshares,andyoudontwanttheexpenseandhassleofsellingupnow,waiting,thenbuyingallyoursharesbackcheaper。

Afterall,thatwouldincurtradingcostswhenyoubuyandsell,stampdutyat0。

5%ontherepurchase,andperhapsevenacapitalgainstaxbillonthedisposal。

Soinstead,youcouldkeepthesharesandplaceadownbetonCompanyAusingaspreadbet。

AssumingCompanyAthendrops,youllmakeatax-freeprofitonthespreadbetwhenyoucloseitoutatthelowerprice,andnothavetobotherchurningyourCompanyAshares。

3。

Theendofthetaxyearisapproaching(5April)。

Youhaveyettouseupyourannualcapitalgainstax(CGT)allowance。

Undertheoldbedandbreakfastingrules,youcouldsellsomeFTSE100sharesthroughyourbrokerjustbeforetheendofthetaxyear,thenbuythembackjustaftertotriggeragainthatcouldbeabsorbedbytheCGTallowance。

Butnowyoumustcompleteyoursalemorethan30daysbeforetheyear-end。

Thatsalongtimetobeonthesidelineshopingthemarketdoesntrise。

OnewaytohedgetheproblemistobuyaFTSE100spreadbetwhenyoumakeyoursharesale。

Then,iftheindexriseswhileyouarewaitingtorepurchaseyourshares,youllmakeatax-freegainonthebet。

Thatwillhelptofundtherepurchaseofyourshares。

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