Chasing Alpha: Tax Alpha May Be the Most Reliable Alpha

Capturing alpha – investment outperformance against its relevant benchmark – is immensely challenging. In fact, some studies show 9 out of 10 managers underperform their benchmarks[1]. Yet, everyone from the largest asset managers to individual investors spend immense effort to find an edge that will yield even a tiny sliver of performance over a benchmark. […]

When Will Deemed Dividends Under Section 305(c) Become a Final Rule? Or Has it Already?

In April of 2016, the IRS published proposed regulations providing that conversion rate adjustments (CRAs) on convertible instruments are deemed dividends and are subject to withholding by withholding agents.  A comment period was scheduled ending 7/12/2016 in which seven comment letters were filed and posted to the docket on Regulations.gov.  On 7/5/2016, the IRS published […]

Cost Basis is Sexy

Cost basis is a funny thing. Every investor knows a little something about it. Since 1913 it’s been the foundation for taxes on capital gains (I’m not absolutely certain about that date; but, really, who’s going to check?). It has appeared on statements and brokerage websites for years. It was almost always incorrect. The basic […]

Understanding How Clients Value Your Business

The lesson here is to constantly keep abreast of innovation and client perspective. Being the best at what you do doesn’t matter much if customers don’t value what you do. Focusing on customer needs, not on specific products, is essential to achieving lasting success.

Making the Case for the Business Case

In the enterprise and infrastructure software space, innovation is slower and development more costly. Still, users and purchasers of technology get excited about the promise of new technology and the positive effect they hope it will provide to them as well as their businesses.

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Cost Basis Reporting: Firms Reveal Biggest Needs, Drivers Behind Conversion of Legacy Systems

After quickly putting in place major system upgrades to meet new cost basis regulations several years back, many financial services firms have now realized that their solutions were not necessarily scalable to their enterprise or sufficiently flexible to adapt to the ongoing evolution of the requirements. Yet, even when dissatisfied with their existing systems, some firms have been hesitant to convert to a different reporting solution because of the potential risk of new system limitations, the significant investments made in their first system, or the perceived effort required to undertake such a conversion.

Scivantage Maxit® Infographic 2015

With over 125 million IRS 1099s processed this season alone, Maxit’s sophisticated data management capabilities continue to set it apart, processing and managing high volumes of data to ensure cost basis accuracy and data consistency with a firm’s books and records.

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Cost Basis Reporting: Beyond Cost and Straight to Reporting

As the investment industry continues meet IRS reporting requirements, firms face increasing costs for this regulatory compliance. Some firms are hoping to reduce resource requirements using additional automation for items such as corporate actions. Others are asking, “How else can I leverage my cost basis data to make this investment more valuable?” If your firm is grappling with either of these concerns, consider Scivantage Maxit.