02-06-2017, 08:45 AM
Hi all,
for the annual report of my dividend business I do not wish to present absolute values to the public. I am limited by language (in this case even in German) and look for correct expressions.
In contrast to
1) "market value", including cash postions (EUR, USD, CAD ...).
I track two other amounts of Euro for the portfolio.
2) money that is transfered to / withdrawn from the brokers account.
3) money that is actually invested, that is: what I paid for all current positions, plus cash positions (EUR, USD, CAD ...).
After some price appreciation, #1 will be higher than #3.
After selling some stock and reinvesting part of the proceeds, #3 will be higher than #2.
What I do want to avoid by all means is #3 going below #2.
Also #2 is subject to change even without deposit/withdraw: tax on dividends or realized gains as well as management expenses (e.g. subscription fees) are paid from separate checking accounts. To take this into account for portfolio performance, I calculate a virtual deposit of virtual new capital which increases the amount of portfolio shares and thus dilutes the portfolio share price.
To me, #2 and #3 seem to be two different types of "equity" or "book value" or NAV, which increase if I do not withdraw tax and expenses.
I would be grateful, if someone could translate all this into a few investor's terms, so I can save readers of the annual report from my descriptions.
for the annual report of my dividend business I do not wish to present absolute values to the public. I am limited by language (in this case even in German) and look for correct expressions.
In contrast to
1) "market value", including cash postions (EUR, USD, CAD ...).
I track two other amounts of Euro for the portfolio.
2) money that is transfered to / withdrawn from the brokers account.
3) money that is actually invested, that is: what I paid for all current positions, plus cash positions (EUR, USD, CAD ...).
After some price appreciation, #1 will be higher than #3.
After selling some stock and reinvesting part of the proceeds, #3 will be higher than #2.
What I do want to avoid by all means is #3 going below #2.
Also #2 is subject to change even without deposit/withdraw: tax on dividends or realized gains as well as management expenses (e.g. subscription fees) are paid from separate checking accounts. To take this into account for portfolio performance, I calculate a virtual deposit of virtual new capital which increases the amount of portfolio shares and thus dilutes the portfolio share price.
To me, #2 and #3 seem to be two different types of "equity" or "book value" or NAV, which increase if I do not withdraw tax and expenses.
I would be grateful, if someone could translate all this into a few investor's terms, so I can save readers of the annual report from my descriptions.