Ello Lending Company logo
Services
Partners
Properties
FAQs
Insights
About us
Contact
Get in touch
Ello Lending Company logoYourLand logo
ServicesPartnersPropertiesFAQsInsightsAbout usContact
Privacy PolicyComplaints

Subscribe to our newsletter

Disclaimer

Comparison rates above are based on a home loan of $150,000 for 25 years. WARNING: The comparison rates are true for the example given only and may not include all fees and charges. Different terms, fees or loan amounts might result in a different comparison rate.

Important Information:

Any information provided does not constitute an offer of credit and are examples of what may be available to you based on the information available. It does not take into account any product features or any applicable fees. Lending criteria and the basis upon which we assess what you may be able to afford may change at any time without notice. For Fixed Rate home loans, break costs may be payable which can be significant if you change the whole or part of your fixed rate loan or where additional or early repayments are made during the fixed rate period.

All applications are subject to lender assessment and approval. Cashback offers may be provided by some lenders and may only be available for particular products, terms and conditions apply.

© 2025 Ello Lc Pty Ltd ACN 662 742 645. Australian Credit Representative Number 544008. Ello is a Credit Representative of QED Credit Services PTY LTD (Australian Credit Licence number 387856).

Back to Insights

Are Capital Gains Based On Trade Date Or Settlement Date?

26th April, 2023
Profile picture of author Ello
Ello
Cover image for Are Capital Gains Based On Trade Date Or Settlement Date?

Are Capital Gains Based On Trade Date Or Settlement Date?

Are you wondering whether capital gains are based on trade date or settlement
date? If so, you’re not alone. This is a common question for many Australians,
especially those who are new to investing.

The answer to this question depends on the type of asset you’re investing in and
the market you’re trading in. In Australia, capital gains are generally based on
the settlement date. This means that the date when the transaction is settled
and the asset is transferred to the buyer is the date used to calculate capital
gains.

For example, if you purchase shares on the Australian Stock Exchange (ASX), the
settlement date is the date when the shares are transferred to your account.
This is usually two business days after the trade date. The capital gains are
calculated based on the settlement date, not the trade date.

The same applies to other assets such as property, commodities, and derivatives.
The settlement date is the date when the asset is transferred to the buyer and
the capital gains are calculated based on this date.

It’s important to note that the settlement date may be different in other
markets. For example, in the US, the settlement date is usually three business
days after the trade date. So, if you’re investing in US markets, you need to be
aware of the settlement date to ensure you’re calculating your capital gains
correctly.

It’s also important to remember that capital gains are only applicable to assets
that are held for more than 12 months. If you sell an asset within 12 months of
purchasing it, any gains you make are considered to be short-term capital gains
and are taxed at your marginal tax rate.

At Ello Lending, we understand that investing can be confusing and overwhelming.
That’s why we’re here to help. Our team of experienced mortgage brokers are here
to answer any questions you have and help you to get a home loan. We’ll work
with you to find the best loan for your needs and provide you with the support
and guidance you need to make the right decisions.

So, if you’re looking for a home loan or have any questions about capital gains,
don’t hesitate to get in touch with us. We’re here to help.

Other insights

View all
Cover image for Stamp Duty Off-the-Plan Calculator: Estimate Your Costs

Stamp Duty Off-the-Plan Calculator: Estimate Your Costs

Calculating the cost of stamp duty for an off-the-plan property purchase in Australia is crucial. By using a stamp duty off-the-plan calculator, you can estimate this expense and plan your budget accordingly. These online tools require basic property information and provide an estimate of the stamp duty you'll need to pay. For accurate advice, it's recommended to consult with professionals like the experienced mortgage brokers at Ello Lending. Contact us today for personalized assistance with your home loan needs.

Cover image for Do You Pay Stamp Duty on Off the Plan Property in NSW?

Do You Pay Stamp Duty on Off the Plan Property in NSW?

Gain clarity on the importance of preapproval in the off the plan property market. Discover how preapproval can enhance your chances of securing the property you desire and provide financial peace of mind. Learn why obtaining preapproval demonstrates your readiness as a qualified buyer and empowers you to make informed decisions. Trust Ello Lending's expert mortgage brokers to guide you through the preapproval process and help you navigate the off the plan buying journey.

Cover image for Do You Need Preapproval to Buy Off the Plan? Property Tips

Do You Need Preapproval to Buy Off the Plan? Property Tips

Preapproval is crucial when buying off the plan property, as it helps establish a budget, strengthens negotiating power, identifies potential issues, and ensures a smooth settlement. At Ello Lending, our experienced mortgage brokers can guide you through the process, provide expert advice, and help you secure preapproval for your off the plan purchase. Contact us today for personalized assistance and turn your property aspirations into reality.

View all