This is one of my favorite investment/tax planning moves

Step 1: Access diversified private equity exposure in your IRA

Step 2: In your taxable brokerage account, implement:

• A tax-aware hedge fund strategy (which may realize capital gains and ordinary deductions)

• A tax-aware long/short equity SMA that systematically harvests capital losses

The capital losses from the SMA can offset the capital gains from the TA HF.

Step 3: Use the ordinary deductions from the hedge fund to execute Roth conversions of your IRA private equity.

Step 4: Harness to compounding potential of private equity without having to worry about taxes while inside the Roth!

For the right family, the value-add from this kind of structuring can be enormous, and almost nobody is doing it.