Today one of my financial advisor pitched me an idea of converting some IRA into ROTH-IRA. If you are someone closer to retirement, or you have a personal situation that might benefit, think or talk to your financial advisor.
I am not doing anything but… YMMV.
Down market reduces the taxes on a Roth conversion. It can be a good time to do it. But do you merely transfer shares or do you sell and then rebuy? And if you sell do you hold money markets in the Roth or buy something else and if so what?
Yes, you are allowed to convert individual securities from your IRA to your Roth. Roth conversion values are priced using the closing market value of the shares on the day the conversion is processed. I would recommend you work with someone who understands the details. You don’t want a tax situation..
I converted shares from an IRA to a Roth in the spring of 2020 when the market tanked. I did have a pretty good tax bite that year but the tax-free appreciation of those shares since that time made it worth it.