Will I owe capital gains taxes if I transfer an existing portfolio via ACATS?
Frequently Asked Questions
Will I owe capital gains taxes if I transfer an existing portfolio via ACATS?
No. Transferring an existing investment portfolio to Silo Markets through ACATS moves your investments directly without selling them, so the transfer itself does not create a capital gain or loss.
What happens to my cost basis?
Your existing positions generally transfer alongside their applicable cost-basis information, which is preserved to accurately calculate potential capital gains or losses upon any future sale.
When could capital gains taxes apply?
- Capital gains taxes only apply when you sell an investment for a gain, not when transferring via ACATS.
- Tax implications depend on individual account types and transaction details; consult a qualified tax professional for personal guidance.
How does Silo Markets protect my account?
Silo Markets employs industry-standard security measures, including multi-factor authentication (MFA), end-to-end encryption for sensitive data, and regular security audits to ensure your account and personal information remain secure.
How long does an ACATS transfer typically take?
The ACATS transfer process typically takes 5-10 business days to complete once initiated, though this timeline can vary depending on your current brokerage's processing speed.
Are there fees for transferring my account?
While Silo Markets does not charge a fee for incoming ACATS transfers, your outgoing brokerage may charge an account closure or transfer fee. We recommend checking with your current firm to understand their specific policies.
Can I transfer fractional shares?
Eligibility for transferring fractional shares depends on your current brokerage. If your current firm cannot support the transfer of fractional shares, they will typically be liquidated, and the cash proceeds will be transferred to your account instead.
What happens if a transfer fails?
If a transfer fails, we will notify you via email with the specific reason provided by the delivering firm (e.g., account restrictions or mismatched information). You can then address the issue and re-initiate the transfer request.
