Re: Confused about portfolio gains

[ Q2 03 - Q4 05 Archive ] [ Current Message Board ] [ Archives ] [ Search ]

In Reply to: Confused about portfolio gains posted by Raymond on January 02, 2004 at 15:14:39:

: When we sell an investment, should it be removed from the portfolio? I had left some investments I had sold in the portfolio, with their value at 0 since I recorde a sell for those investments. When I removed them from the portfolio, I noticed that the portfolio gain was reduced as well as the ROI figures that appear at the top of the graph (the historical cost option is checked). Why is this so. It seems to me that if there if a investment is worth 0 its removal should have no impact on the performance of the portfolio.
: Thank you

Hi Raymond,

You will probably want to just leave your sold investments in your portfolio.
Removing them from the portfolio will affect the historical returns/gains.
An investment with $0 value won't affect returns/gains past the date when
it had a $0 balance, but it will if the returns/gains are calculated over
a period of time when that investment had a non-zero value.

You may want to consider making the investment "hidden" if you don't want
to see it in your graphs/reports. Hidden investments are still included
in portfolio based calculations, such as return on investment. Hidden
investments won't have their own line item in reports and won't show in
investment based graphs though. You can toggle this on/off with "View/
Hidden Investments". To make an investment hidden go to "Investment
Properties.../Other/Hidden".

Thanks,
Mark
--
Mark Beiley

Fund Manager, portfolio management software for Windows 95/98/ME/NT/00/XP

Replies: