I executed a fund exchange in 2018 in my daughter's college, non 529, investment portfolio. It is a taxable event; the capital gains taxes are crushing. What can I do?

[dngants]

I transferred part of one fund into another fund within an overall mutual fund investment portfolio.  The funds are meant for my daughter's college education, but I did not setup as a 529 (I know, big mistake on my part).  What, if anything, can be done now in 2019 to minimize the capital gain impact?

[MinhT · Accepted solution]

Unfortunately, there is no way to minimize the taxation of your capital gains. If you sold certain mutual funds in the portfolio then bought other mutual funds, the capital gains made on the sale of the mutual funds are taxed, and there is no way to reduce that tax.