Accessibility Menu

What Does Reinvesting Capital Gains Mean?

By Kristi WaterworthUpdated Apr 3, 2025 at 1:38 AM

Key Points

  • Reinvesting capital gains means putting sale proceeds back into new investments.
  • Consider tax obligations and liquidity needs before automatic reinvestment.
  • Review reinvestment decisions annually to adapt to financial changes.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.