Purchase and sale of a security either simultaneously or within a short period of time, often in order to recognize a tax loss without altering one's position. Bloomberg Financial Dictionary
See: tax selling. Bloomberg Financial Dictionary
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wash sale UK US noun [C] FINANCE, STOCK MARKET
► a situation in which an investor sells shares, etc. then buys them back again almost immediately
► (also wash trade) the illegal situation when the buyer and seller of shares, etc. is the same person or organization. The buying and selling at the same time gives the impression that there is a lot of trading activity connected with the shares, and may increase their price: »
In a wash trade, no real change of ownership of the securities is involved.
Financial and business terms. 2012.