Transfer In Transaction -- Market Value -- ambiguous help

[cbenenax]

The help description for the Market Value field in the Transfer In Transaction states:

Market Value - The value of the transferred in shares

So a value is a value.

What does this really mean? price * #shares at time of purchase? price * #shares at time of transfer? Share price at time of purchase? Share price at time of transfer? Something else?

[Mark]

Hi cbenenax,

It means market price * shares at time of transfer. It is a value, not a price.

Maybe the definition should read:

The total amount the transferred in shares are worth on the open market at the time of transfer

[cbenenax]

It means market price * shares at time of transfer.

SHouldn't it be at time of acquisition? Otherwise how will you calculate my cap gains when I sell it?

[Mark]

Hi cbenenax,

No, the "Market Value" is at the time of transfer. You also enter a "Date Acquired" and "Value" in the "Tax Cost Basis" box, which are used for determining your capital gains when you sell.

[cbenenax]

Hi cbenenax,

No, the "Market Value" is at the time of transfer. You also enter a "Date Acquired" and "Value" in the "Tax Cost Basis" box, which are used for determining your capital gains when you sell.

Sorry to go on about this -- but then what is the Market Value good (day of transfer value) good for?

[Mark]

Hi cbenenax,

Feel free to ask as many questions as you want, that is fine.

The Market Value on the date of the transfer in is used in performance calculations for that investment. Example:

Transfer In with Market Value of $1,000, and a cost basis of $500. If the investment goes up to have a market value of $1,100 then this is a 10% return. The investment earned $100 since transferred in, it didn't earn $600. Now, if you sell it at $1100, your capital gain is $600. So, for transfer in transactions FM needs to know both the market value on the date of the transfer, and also what you initially paid for it.

[cbenenax]

OK, then I guess this is just a different usage scenario than mine.

I want to track return from the time I acquired the asset, not the time I transferred it, and also get correct cap gains for tax reports. So I guess I will just enter the same value for both Market Value and Value

[Mark]

In this case, why not just record a "Buy" transaction for the real date you bought it?

[cbenenax]

In this case, why not just record a "Buy" transaction for the real date you bought it?

Could do. But I get RSUs from my employer and it might be useful to distinguish those from shares I actually bought. The RSUs go into my account at the brokerage my employer uses, but I move them ASAP to my broker.