Dividend Distorting Cash Price

[coolspot]

Hello,

I have some issues with the dividend transaction that I retrieved from Yahoo Finance. There is no problem in the equity itself (the dividends are recorded correctly).

fms2.png (99.03 KiB) Viewed 2422 times

However, in the cash account, the dividends are recorded as VALUE = Div/share * Share. Apparently this change the value of the cash. My cash value end up to be some ridiculously high value.

fms1.png (82.71 KiB) Viewed 2422 times

I hope that someone can point me to the right direction. Do I have to re-adjust all the dividend manually?

Also, I am wondering if there is a way to put a default tax rate for the dividend distributed? The number from Yahoo is without tax.

[Mark]

Hi coolspot,

First off, your cash does not appear to be set to a price of 1. Generally cash should always be at a price of 1, with all transactions at a price of 1. See this tutorial on tracking cash.

Second, are these cash transactions because of dividends in the cash investment itself, or are these corresponding buys of cash due to deposited dividends in other investments? Generally you want to turn off price retrieve on cash, so you shouldn't be getting price updates or dividends in the cash investment itself. The tutorial mentioned above will also address this issue.

[coolspot]

Hi Mark

Yes, I have set the price of cash to be 1. However when I retrieve the dividend from yahoo, it retrieves the information as dividend/share times share. Share, is taken from the portfolio position. However for dividend per share is taken as the price of cash automatically. So even though the final dividend amount is the same, it has distorted the whole cash price to something other than 1.

[Mark]

Hi coolspot,

I am not following. Are you retrieving dividends for your cash? You should not be retrieving dividends for cash. You should not retrieve prices or dividends for cash. If you still have questions, please clarify what dividends you are retrieving. If you're retrieving dividends for other securities in your account, this should result in a "buy" transaction in your default cash account for the amount of the dividend in the other securities.

Yes, when retrieving dividends using the "Yahoo (Historical)" quote server, Yahoo reports a dividend/share amount. Fund Manager calculates the dividend amount based on this dividend/share, and the number of shares you own on that date. So, for example, if IBM pays $0.25/share and you own 100 shares, you will receive a $25 dividend in IBM, and a resulting deposit (buy) into your designated cash account of $25. There should be no dividend transaction in cash, only buys from dividends received on securities in the account.

As an aside, in your 2nd screenshot, I can see many non-1 prices, like 13, 14, 15, 19, 20 in what appears to be your cash investment. If that was your cash investment, all those should be 1. Please watch that tutorial on how to track cash I referenced in my last reply.

[coolspot]

Hi Mark,

I found the problem after your post. Apparently, the cash is still retrieving data, so it is now disabled.

Regarding my last question, is there any way to put default tax rate for dividend?

Thanks

[Mark]

Hi coolspot,

Glad you fixed it. Sorry, no, there is no feature to enter a tax rate. Fund Manager doesn't get into tax rates. It just reports on performance for however you enter your data, which is usually pre-tax.