Creating a Chart Index of 5 Symbols

[SDS]

Mark,

Is there a way to create a custom Composite Index, consisting of, say 5 ETF symbols, to view as a Chart in Fund Manager?

Many thanks for any response.

[Mark]

Hi SDS,

You can create a sub-portfolio, and put the 5 ETFs in there. You can then plot this sub-portfolio with any of the portfolio based graphs.

[SDS]

Mark,

Thanks a lot for your response. I read your post and notice that it is possible to get a composite "price" for a subportfolio, but it does not seem possible to apply any technical indicators to this composite price. Is it possible to apply technical indicators in a manner that I am missing.

Also, is it possible to create a chart of a proxy composite index of several exchange rate indices instead of ETF posiitons?

[jw]

It would be useful to have a charting feature to create an index out of any group of stocks. Create a merged price and volume chart based on all of the individual components in a portfolio of stocks. The index should be able to be plotted and annotated as we would any individual stock. All indicators that are available for an individual stock should be available for this index.

[Mark]

Hi SDS and jw,

You're right, FM cannot create a composite that can be used in any of the investment based graphs, like Technical Analysis. You can overlay it in the "Portfolio/Investment(s) Overlay" graph types.

To add these feature would you like to see this composite created by simply adding the share prices of each component, or maybe it makes better sense to take a value or price weighted average? There are probably several different ways of calculating a merged price. I'm wondering what would be most meaningful.

Also, is it possible to create a chart of a proxy composite index of several exchange rate indices instead of ETF posiitons?

You can use the described method to plot any combination of investments, whether they are exchange rate indices, ETFs, stocks, etc... Just put them all in a sub-portfolio, and then you can plot that sub-portfolio on any of the portfolio based graphs. You cannot plot a sub-portfolio on any investment based graphs. You can have the same investment located in multiple sub-portfolios if you want.

[SDS]

Mark wrote:

To add these feature would you like to see this composite created by simply adding the share prices of each component, or maybe it makes better sense to take a value or price weighted average? There are probably several different ways of calculating a merged price. I'm wondering what would be most meaningful.

Would be interested in jw's response. Personally, the choice of both a value and price weighted average makes good sense.

[jw]

Mark wrote:

To add these feature would you like to see this composite created by simply adding the share prices of each component, or maybe it makes better sense to take a value or price weighted average? There are probably several different ways of calculating a merged price. I'm wondering what would be most meaningful.

I was originally thinking about simply adding the share prices of each component. Why not both? I would like to compare both methods to see which one works best for me. If only one can be implemented at first, I would prefer the adding the share prices method.

[Mark]

Hi SDS and jw,

Okay, thanks for the feedback. Sounds like you'd both like to have control over how this 'composite' is calculated.

In the mean time, another way you can get this now is to create your own investment by merging investments outside of Fund Manager, and then importing into a new investment. You can export pricing data from your desired source investments, read it into Excel, and merge it however you want. Then, import this merged data with "File / Import / Prices / Generic...". I understand in the future you'd like a more automated way of accomplishing this, but this is at least an option for now.

[SDS]

jw wrote:

It would be useful to have a charting feature to create an index out of any group of stocks. Create a merged price and volume chart based on all of the individual components in a portfolio of stocks. The index should be able to be plotted and annotated as we would any individual stock. All indicators that are available for an individual stock should be available for this index.

Mark wrote:

Okay, thanks for the feedback. Sounds like you'd both like to have control over how this 'composite' is calculated.

In the mean time, another way you can get this now is to create your own investment by merging investments outside of Fund Manager, and then importing into a new investment.

Thanks for this suggestion, Mark. Defintely hadn't thought of that. Any chance that jw's suggestion above, with all currently available indicators for individual stocks being available for an index, could be available soon? I'm anxious to upgrade to Version 9.x if this can be done sometime in the near future.

[Mark]

Hi SDS,

This wouldn't be a 9.x feature. This would be something we'd consider for a future major update, like 10.x.