Episode 233 – Aligning the Tax Strategy to the Investor with Josh Freeman and James Costabile

Today we’re joined by the team at iCapital, a company dedicated to powering the world’s alternative investment marketplace.

We welcome Josh Freeman, Vice President of Research and Due Diligence, and James Costabile, Managing Director and Head of Alternatives Distribution.

In this episode, we explore tax-efficient strategies to help investors and advisors navigate year-end planning and manage capital gains more effectively.

Topics discussed:

• Tax-efficient strategies for investors, focusing on year-end planning, managing capital gains, and using tools like 1031 exchanges and Qualified Opportunity Zones (QOZ).
• iCapital connects asset managers, issuers, and wealth managers to offer alternative investments such as structured products and annuities, supporting advisors with research and expertise.
• Delaware Statutory Trusts (DSTs) offer a 1031 alternative, providing passive real estate investment opportunities and reducing property management burdens for investors.
• The 721 UPREIT allows investors to exchange DST ownership for REIT units, maintaining 1031 benefits but limiting further exchanges, making it ideal for long-term passive exposure.
• Advisors should tailor strategies to client preferences: active owners may prefer traditional 1031s, passive owners may opt for DSTs, and passive investors could benefit from the 721 UPREIT.
• QOZ funds provide tax deferral and potential tax-free gains after 10 years.

 

To learn more about the potential tax benefits of 1031 Exchanges and Opportunity Zones, iCapital is hosting a CE-credited webinar with Ares and Griffin Capital Wednesday, October 30th from 4-5pm ET. Register here: https://learn.icapital.com/tax-strategies-webinar

 

Resources: iCapital

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