Running Commentary on the SP Movements., page-9635

Without wasting too much time here, traders flip regularly to increase total cash pool which allows same starting kitty to multiply several times. Investors hope one purchase will increase and get a Cgt discount at the end.

Take some rough numbers, invest $1000 and flip every week for 10 percent results in $129,000 at the end of a year paying $61,000 at high rate tax and a take home profit of $67000

Or invest $1000 and hope you get a Disallowed, resulting in $9000 profit and $2150 tax bill after Cgt and a take home profit of $7000

Turns out if the trader makes 5.5 percent a week they are ahead if you run all the possibilities, at 10 percent they are way way ahead.