For investors with large capital gains — realized or not.
WHAT IS TAX-AWARE LONG/SHORT? (TALS)
(1) Alpha-seeking. Tax-aware long/short (TALS) strategies seek higher levels of outperformance — pretax and after-tax — by profiting from short-selling lower-quality companies while owning more of the higher-quality ones.
(2) Tax deferral at scale. Defer tax on realized gains and let long-term holdings compound — in a personalized, tax-managed account that is fully transparent. You see every transaction.
HOW IT WORKS
TALS runs in a taxable account using special margin borrowing: the manager can profit from short-selling lower-quality companies while owning more of the higher-quality ones.
Margin also makes leverage available, which can amplify a manager's impact or value-add. Leverage magnifies losses as well as gains — whether it belongs in your portfolio depends on your investment objectives, tax profile and risk tolerance, among other factors.
Tax-aware long/short: disciplined tax management, amplified.
An interactive exposure dial on the page shows what a tax-aware long/short mandate actually looks like. Two controls drive it: a five-position slider for how active the program is, and a target beta of 1.0, 0.5 or 0 for how much market exposure the strategy keeps.
The slider sets gross exposure — everything the manager holds on both sides. Net is what is left after the shorts offset the longs, and it is what sets the target beta. Raising gross raises both the manager's opportunity to add value and the leverage risk that comes with it. Long minus short is always the net: long is (gross plus net) divided by two, short is (gross minus net) divided by two.
At a full 100% net market exposure the published pairs run 130/30, 145/45, 200/100, 250/150 and 300/200 — the classic extension is a modest short book funding a little more long, and the most active end puts five times your capital to work across the two sides, with four to five times the loss-harvesting surface.
Target beta 1.0 / 100% net market exposure — a full market allocation: the shorts fund extra longs rather than reducing your exposure to the market.
Target beta 0.5 / 50% net market exposure — half the market exposure of a long-only portfolio, with the strategy's activity unchanged.
Target beta 0 / 0% net — market-neutral — longs and shorts are of generally similar magnitude, so returns come from the manager's selection rather than the market's direction. The entry-level market-neutral program runs 60/60, not the 160% gross the same slider notch buys at beta 1.0.
Long-only strategies do not include profit-potential from short-selling. Short-selling adds risk of losing money. And the extra gross leverage or "amplification" can be a net expense drag when you select managers who underperform (are not able to add sufficient pretax alpha / profit).
Impact Direct: access + fiduciary oversight
INTRODUCING IMPACT AMPLIFIED℠
Gain access to leading tax-aware long/short (TALS) SMA and hedge fund managers — selected as a fiduciary for best client fit, nothing else.
BEYOND DIRECT INDEXING
Direct indexing is an established way to deliver tax alpha, or outperformance after considering tax impacts. This is a result of tax-loss harvesting (TLH). Tax-aware long/short strategies seek higher outperformance pretax and after-tax, while generating loss harvesting at far greater scale.
How TALS pursue higher alpha: Methodology for gain & loss realization is tailored to your tax profile and real-time market conditions. Short-selling lower-quality companies plays an important part of pre-tax alpha. Long-term tax management of the strategy is important to delivering after-tax alpha. This includes thoughtful wind-down of the strategy over time.
TALS is a more complex strategy able to deliver a level of tax deferral that dwarfs direct indexing. We offer TALS à la carte or integrated with comprehensive wealth management, always with fiduciary oversight:
IMPACT Direct Access
Direct
“Access + fiduciary oversight”
Full access to the IMPACT Amplified℠ suite with fiduciary oversight — without the full-service wrapper. You call the shots.
- Full access to best-of-breed tax-aware solutions
- Fiduciary onboarding
- Strategy optimization
- À la carte advisor support if you need more
Who IMPACT Direct is for
The full IMPACT Amplified℠ suite is now available to sophisticated investors who want fiduciary access to TALS and other disciplined tax-management strategies — without the full-service wrapper of financial planning, education, and 'white glove' onboarding.
If you've already climbed the learning curve, you may qualify for IMPACT Direct, with streamlined onboarding. You may be a fit if:
- You seek access with fiduciary who can navigate a myriad of options but not the full package of comprehensive wealth management and planning.
- Or perhaps you want to change custodians or managed account providers
- You want to start the relationship solving a specific tax-aware need and seek a fiduciary who can get you across the finish line
- You no longer need the 'white glove' service level and pricing of your existing advisor.
The initial consultation is complimentary — a chance to determine mutual fit. IMPACT Direct clients get three onboarding calls with a fiduciary to smooth the onboarding, with additional advisor support available à la carte.
Comprehensive Wealth Management
Full-service
“Integrated financial planning”
Concierge onboarding, end-to-end fiduciary handling, ongoing oversight. We are the coach and quarterback.
- End-to-end account set-up
- Manager selection & due diligence
- Ongoing tax-lot oversight
- Integrated financial planning
Why full-service for TALS
Tax-aware long/short investing is disciplined tax management that delivers powerful results — precisely because of its complexity.
It requires a high degree of education and guidance, with careful set-up to meet the after-tax objectives of the portfolio. As your fiduciary, we handle it end-to-end: selection, implementation, and ongoing oversight.
Your goals, our expertise.
Concentrated Stock Solutions
- Risk & diversification — Adjust your exposure to a single position, diversify around it, and keep an orderly exit available.
- Tax optimization — Delay and mitigate tax impacts through disciplined gain/loss realization tailored to your bracket.
- Liquidity — Multiple cashless hedging strategies and low-cost, tax-deductible borrowing options available to qualified clients.
- Income — Diversify into tax-efficient income and cash-flow investments.
The case for tax alpha.
In the press
Best-of-breed, strategy by strategy, for high-tax-bracket investors and entrepreneurs.
About ImpactAdvisor
Private wealth management · alternatives · tax strategy.
Our client mix
- 40% — $10M+ in assets
- 40% — $2.5M–$10M in assets
- 20% — Up to $2.5M in assets
Source: Q1 2026 AUM client-revenue mix, segmented by client-asset profile.
Experience: Our client-facing advisors each bring 25+ years of experience.
Does tax-aware long/short (TALS) fit your planning needs?