Tax Alpha refers to the additional incremental value or return generated through effective tax management strategies, with the ability to enhance after-tax returns. It can be achieved through methods like tax-loss harvesting, tax-efficient asset allocation, and capital gains management. The goal is to minimize taxes and maximize overall financial outcomes, often utilizing tax shelters like (Roth) IRAs, (Roth) 401(k)s, annuities, real estate, insurance products, specific product types, etc.
