In the Headlines
June 16, 2015
How an Exclusive Hedge Fund Turbocharged Its Retirement Plan
Bloomberg
In a series of unusual moves, an executive hedge fund abolished its traditional 401(k) plan and won the government’s permission to put pieces of profitable fund inside Roth IRAs. That means no taxes on the future earnings of a fund that averaged a 71.8 percent annual return, before fees, from 1994 through mid-2014.
Attorney Robert Friedman said, “The power of the Roth is really incredible. If you’re a hedge fund and you turn your dollar into $500, you’re going to get all that appreciated money tax-free.”
READ: How an Exclusive Hedge Fund Turbocharged Its Retirement Plan