Would be great to get advice on the following. I have approx.17.5k EUR worth of BOI shares bought a few years ago. Openly speaking, purchased them before I knew what I was doing. No surprises, they're worth less than was paid for them (-4.5k). The biggest loss is on the shares bought earliest on.
Not all doom and gloom, learnt a few things over the years and in 2021 have a ~10k gain on other shares sold, and therefore will owe the tax man ~2.8k in CGT after the annual allowance.
Cutting my losses on these shares is probably the best course of action, given they would need to make substantial gains in % terms for me to break even, and I have a tangible gain this year to consider.
Other relevant information 1) Maxing AVCs, 2) Mortgage of 405k @2.6%, ~45% LTV) 3) No other debt 4) Emergency fund in place, 5) Am reducing the mortgage with the shares sold above.
The prudent thing to do would be to make a bigger lump sum off the mortgage, using the proceeds of the BOI share sale, which is possible without penalty.
Options
More or less decided option 3 isn't a runner, unless anyone thinks BOI is seriously undervalued and/or has a very bright upside. Between 2 and 3, could be swayed either way.
Not all doom and gloom, learnt a few things over the years and in 2021 have a ~10k gain on other shares sold, and therefore will owe the tax man ~2.8k in CGT after the annual allowance.
Cutting my losses on these shares is probably the best course of action, given they would need to make substantial gains in % terms for me to break even, and I have a tangible gain this year to consider.
Other relevant information 1) Maxing AVCs, 2) Mortgage of 405k @2.6%, ~45% LTV) 3) No other debt 4) Emergency fund in place, 5) Am reducing the mortgage with the shares sold above.
The prudent thing to do would be to make a bigger lump sum off the mortgage, using the proceeds of the BOI share sale, which is possible without penalty.
Options
- Sell the lot > Save €1,500 in CGT this year & €500 annually in mortgage interest thereafter.
- Sell 7k's worth bought first & have the biggest loss > Saves €1,200 in CGT & €180 p/a in mortgage interest. Take a punt on the remaining shares, reassessing the decision at least once a year
- Keep the lot > Forego CGT saving & annual interest saving > Take a punt on the full 17.5k, reassessing at least once a year
More or less decided option 3 isn't a runner, unless anyone thinks BOI is seriously undervalued and/or has a very bright upside. Between 2 and 3, could be swayed either way.