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Re: Liquidated stocks

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Posted by Mark on January 16, 2007 at 09:45:00:

In Reply to: Liquidated stocks posted by Harry Teder on January 14, 2007 at 20:05:21:

: Mark -You say, "Liquidated stocks will always report NA for these %Gain figures. This is because for liquidated stocks the Gain equals -1 * Basis, so the %Gain would always be -100....." Would you please explain this further? How would gain 'always' equal 100% of base - it could be more, or less, depending on how the investment did? Thank you

Hi Harry,

I didn't explain that too clearly... The %Gain uses this formula:

%Gain = (End_Value - Cost_Basis)/Cost_Basis

For liquidated investments the "End_Value" is $0, so it will always evaluate to -100% after you've sold everything. This isn't a meaningful number, so FM reports NA when for %Gain when you don't own any shares.

Thanks,
Mark
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Fund Manager - Portfolio Management Software



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