Capital Gains Distributions from mutual funds. Seems like getting taxed for the

[A HERETIC I AM]

5. The answer to your question is yes

If a fund sells a stock for a profit and sells another for a similar loss, don't those balance out?

Absolutely. And as a result the NAV won't change. Even if they didn't sell either position, the NAV would not change.

And not to get too nosy, but I am curious as to what fund it is you are talking about.

If you haven't already, may I suggest you look up the fund on www.morningstar.com ?

Enter the 5 letter ticker and you will get all sorts of info on it, including the top ten holdings. If you go to the Fund family's website, you can find the entire portfolio. Looking through the positions they hold may give you some indication as to why it has been flat or nearly flat for a while.

Keep in mind that the S & P 500 has been up and down dramatically over the last 12 months, but is currently fairly close to where it started a year ago;

https://www.google.com/search?q=s%26p+500&ie=utf-8&oe=utf-8