>Seems to me that as an "average" investor I'm going to get taxed 3 times now. The underlying index trades, my own entry and exit from the index and on the gain

>Seems to me that as an "average" investor I'm going to get taxed 3 times now. The underlying index trades, my own entry and exit from the index and on the gains from the trade (hopefully). I don't have a view on whether this is good or bad, but this is exactly what happens in one of the markets with a relatively high transaction tax.