Exec Summary/Portfolio Perf Summary

[jblankenship]

I'm having a problem with the Portfolio Performance Summary in the Executive Summary report.

Before you ask, no, it's not the accrued interest issue.

When TDA transitioned over to Schwab, CDs were priced differently, with TD pricing by $100 units and Schwab pricing by $1 units. So on the date of the transition I entered a 100/1 split for each of the CDs, which updated their number of units to match the pricing. All looks great in the regular Portfolio Performance report, but not on the Exec Summary.

Screen shot attached for clarification - you can see the Q3 result is a loss (~3%), but the Portfolio Perf Summary shows a 25.2% gain.

Screenshot 2023-10-03 123956.png (21.83 KiB) Viewed 2971 times

Thanks for any help you can give me.

[Mark]

Hi jblankenship,

Please go to "Edit / Report Settings... / Options...", and change "Portfolio Performance Metric" to "ROI Yield" instead of "Time Weighted Return".

For an explanation of the differences between ROI and TWR, please see this documentation:

https://www.fundmanagersoftware.com/help/yields.html

[jblankenship]

No change after this adjustment.

That's actually how I originally had it set up, I changed to TWR to see if it made any difference.

[Mark]

Hi jblankenship,

I'm not sure, that does look odd given the values. If you create a Custom report with a date range of 7/1 - 9/30/23 and add the fields:

ROI Yield (between)
Time-weighted return (between)

Do you get the same 25.2% for the portfolio? If so, I'd suggest trying to narrow down where the problem comes from by changing the report dates in half, repeatedly, until you narrow down to the problematic date, and then look at your recorded transactions there. If you'd like, you can also email me a backup of your data, such that I can reproduce it here, and I'll take a look. Another tool to use is the ROI yield logging at "Options / General Preferences... / Yields". If you turn that on, the log is then available at "Help / Logs / ROI Yield Calculation...". After turning on that option, make any edit to the report settings, and put them back the way you want. This will force the re-calculation, such that the log file updates. You can search by the 25.2 figure to find the relevant calculation.

[jblankenship]

When I created the custom report per your instructions I came up with 14.4% on both ROI and TWR.

I also looked at the log (after setting it for Yield) and the top item in the list shows 25.19 for the Yield Result. Aha - but the log shows "Including Accrued Interest: ON", although I have confirmed that I have Accrued Interest unchecked in both the Exec Summary and the Portfolio Performance sections of the Report Preferences. What might cause that?

EDIT: I found the problem. Under Options/General Preferences/Yields tab, there is yet another place to uncheck "Include Accrued Interest in Yield Calculations". After unchecking this, the report produced correctly.

[Mark]

Hi jblankenship,

It is a bit confusing on the accrued interest option, but the option at:

Options / Report Preferences... / Executive Summary / Include Accrued Interest

only controls whether any accrued interest is included in the display of the Portfolio Activity Summary section of this report type. Press "Help" in that dialog for an explanation. Whether accrued interest is included in yield calculations is a separate global option at:

Options / General Preferences... / Yields / Include Accrued Interest in Yield Calculations