Year-End Tips for Investors

Here are some tips for investors considering year-end financial transactions:

* Under IRS rules, any capital gain or loss realized by selling a stock or mutual fund through Friday is recorded in this tax year, even if settlement of the trade takes place in 2006. Stock markets will be open for a full session on Friday, closing at the usual 1 p.m. PST.

* A long-term capital gain -- profit on the sale of an investment held for more than one year -- is taxed at a maximum federal rate of 15%. Short-term gains are considered ordinary income and are taxed at the same rate as wages and other such income.

* Investors who want to sell mutual fund shares before year-end should check with their fund company to make sure that they can do so via phone or e-mail. Some funds require redemption requests in writing.

-- Tom Petruno