US 2028 Direct Indexing

Direct indexing 2028: own underlying stocks (not ETF). Systematic loss harvesting at single-stock level. Tax alpha 1-2%/yr. $100k+ minimum typically.

Portfolio size ($)

Annual tax alpha %

Direct indexing fee %

Years held

Lifetime Alpha

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Net Annual

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Gross tax alpha	—
Direct indexing fee	—
Net annual alpha	—
Lifetime tax alpha	—

Direct indexing: own individual stocks of the index instead of an ETF. Enables single-stock tax loss harvesting — sell losers, replace with correlated names. Generates 1-2% annual tax alpha (deferred + offsetting gains). Minimum $100k typical. Retail offerings: Schwab Personalized Indexing, Fidelity Solo FidFolios, Wealthfront US Direct Indexing, M1 Pies.

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Last updated May 2026. Sources: IRS TLH.