Is it legal/reasonable/possible to start a corporation whose sole purpose is to manage and invest a reasonable portfolio of assets into strictly marketable securities (ie. stocks, bonds, options, futures, etc..)?
I have a personal investment account but I'd like to move the assets over to a corporate entity to possibly save on taxes (ie. lower taxes on preferred dividends, interest income, and of course, capital gains). I dont' anticipate needing to remove capital from the corporation (ie. there won't be a need for significant dividends in the reasonable future).
Are there any downsides to doing this? I know that I'd need to file annual reports and perhaps hire a CA/auditor, but is there anything else to be aware of?
2006-12-08
11:46:57
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2 answers
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asked by
jthompson7804
1