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Neither could the fund concentrate on taking long-term rather than short-term capital gains.
Three sales resulted in a net short-term capital loss of $228 (Line 7).
"Much of what is coming in through private equity is short-term capital.
First, the vulnerability of those nations with very open economies to international short-term capital flows.
Such movements up and down are probably caused by precautionary short-term capital movements.
Worse, the deficit is largely financed by short-term capital inflows.
There is also the capital account, which includes both long-term and short-term capital movements.
The Chancellor could redefine short-term capital gains as income, as some other countries do.
Raise rates on short-term capital gains and lower rates on long-term capital gains.
The chief danger lies with heavy inflows of short-term capital, bank lending above all.
Then the fund distributed short-term capital gains that were equal to more than half its net asset value.
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