Tech billionaires are making plans to bail on California ahead a possible ballot measure that would tax their assets to help pay for healthcare.
Sources told the New York Times that venture capitalist Peter Thiel has explored spending more time outside California and opening an office for his Los Angeles-based personal investment firm, Thiel Capital, in another state.
The taxes aren’t on one person though, they’re on everyone. Everyone looking to sell their stocks at tax time => price goes down because no one is looking to buy.
If their portfolios were properly diversified, you wouldn’t see that effect on the overall market.
No. Obviously they wouldn’t wait en masse until tax time to sell on the same day. If you knew everyone was going to sell their stock at the same time, wouldn’t you sell yours first before the prices started plummeting? And by the same token, if you knew there was going to be a load of selloffs at the end of the tax year, wouldn’t you wait to do all your buying at that time?
There’s just way too many pressures in both directions for what you claim to be a plausible scenario.
And yet everyone waits until a few months before tax time to put their money into RRSPs. I have seen it first hand. The money just floods in.
It doesn’t have to happen on one day to move the price. Prices move whenever there are more buyers than sellers or vice versa.
This is so completely irrelevant and grasping at straws that I don’t think you’re even talking in good faith any more.