you stated "The IRS won't even let you offset trading gains with real estate loss carryforward or K-1 loss carryforward on your 1040. They don't take kindly to that attempted mixing - like hedge funds, they tax the "high water mark" in each area." I don't have real estate losses and I don't know what K-1 loss carryforward are. I simply expense the same things that I always did when i had my agency its just that now there are no incomes from various commissions so I have losses. I started investing my profits even while I was still selling insurance and once i stopped the insurance sales I gradually have increased my investing...I don't think of the investing as a business its just that the money is there so I put it to use...if it wasn't invested then it just sits there. I am a little confused about the 1040 reference as I am doing an form 1120. Thanks