Money Market Showing negative return

[reddragon]

What could this be? Negative return in Money Market.

[Mark]

Hi reddragon,

What kind of return? ROI or TWR? If it is ROI look at the price at the beginning and end of the yield term, plus any transactions within the period. If you have a negative account fee distribution for example, this would cause a reduced ROI, possibly negative.

[reddragon]

Time Weighted Return?

[Mark]

Hi reddragon,

For a TWR, look at the beginning/ending prices, plus any per-share distribution amounts within the yield term. A negative valued distribution is likely the reason. You can also turn on yield logging to see the details if you'd like. See "Options / General Preferences... / Yields / Log Calculation Details for TWR Yields". Press the "Help" button in that dialog for help finding the log file afterwards.

[reddragon]

Something not related, what is the difference between Portfolio performance and Investment Performance? %gain? Yield?

[Mark]

Hi reddragon,

The "Portfolio Performance" report focuses on your invested money. The "Investment Performance" report focuses only on the performance of the underlying investments. The Portfolio Performance report factors in when you bought/sold, where the Investment Performance ignores this aspect. The yield in the Portfolio Performance report is an ROI yield, and the yield in an Investment Performance report is the TWR yield.

[reddragon]

I have a negative 1.1% in a money market return for a investment return account. What could this be?

[data8504]

@reddragon,

If you view the share transactions for this money market (from the Portfolio Editor, find your MM fund, right click, Investment Data > All Data, then select Data Type of "Share Transactions"), what do you see?

a) Are all transactions at the same NAV/price? For instance, 1.00 is customary for most MM funds.
b) Are all your distributions/reinvestments at a positive value?
c) Do you have any transactions of type other than buy, sell, and distributions (or reinvestments) of positive value?

-Matt

[reddragon]

On 02/02/2017 there is a account fee of -.08 for siemens stock. Could that be it? February is the first month that negative return in Money Market pops up as -.09.

[data8504]

Possibly. A few follow up questions...

a) When you reconcile this account (manually or automatically), does the MM fund balance line up with reality?
b) Is the account fee you mention literally coded as "Acct Fee" in FM? Or are you just saying it is, in fact, an account fee?
- If it's simply a "sell"-type transaction, used to pay an account fee, this will not affect ROI.
- If it's literally an "acct fee"-type transaction, then yes, this could be it. And, to add, I'd say this is not a good way of recording this transaction... I'd re-code it as a "Reinvested Acct Fee" on the Siemens position, which would more accurately show the ROI reduction on *that* investment instead of the MM fund. This would then necessitate a "sell" transaction in the MM fund (instead of the current fee transaction) to settle out the core.

Let me know if this explanation is clear enough... there are several moving parts.

-Matt

[reddragon]

Thanks Matt, That was it. Siemens

[reddragon]

Hello, I ran a portfolio value report and my Money Market is showing a -.01 as a value when it should be 0. Can not figure out why any Idea?

[Mark]

Hi reddragon,

The market value is simply the share quantity times the market price. What are those 2 values showing in this report?

[reddragon]

.011 # of shares.

[reddragon]

minus .011 # Shares