Sub-Portfolio Linking Feature

[fiscalis]

With the new link to feature for subportfolios, I'm wondering if it is possible to link more than one sub-portfolio to another linked target sub portfolio?

For instance, I'm thinking of taking a client's sub portfolios which are organized by accounts, and splitting each account's assets into sub portfolios beneath based upon asset type (such as equities, fixed income, etc). Then I'd like to take all the various common subportfolios within all their various accounts and link them to a single linked target for that particular asset type (equities, fixed income, etc).

Will this work?

THANKS!

[Mark]

Hi fiscalis,

Yes, this would work. You would have something like this:

Code: Select all

- Master Portfolio
  - Account 1
    - InvTypeA
    - InvTypeB
  - Account 2
    - InvTypeA
    - InvTypeB
  - All InvTypeA
    - L:Acct1-A
    - L:Acct2-A
  - All InvTypeB
    - L:Acct1-B
    - L:Acct2-B

Where the sub-portfolios that start with L: are link subs.

In addition to doing this organization with sub-portfolios and linked subs, you may also consider just using the asset type or investment goal categories.

[fiscalis]

Hi Mark,

I've downloaded ver 11.1 (advisor), and have linked my subfolders as discussed previously.

Is there a way to not have the total values produced by linked/mirrored subfolders contribute to the overall value of the portfolio at the top of the subfolder tree?

THANKS!

[Customer Support]

Due to vacation, technical support will be unavailable until Monday May 16th. We will reply to your post on Monday.

[Mark]

Hi fiscalis,

You can't prevent a link sub-portfolio from being included in higher level sub-portfolio totals, but you can organize your sub-portfolios into more layers of hierarchy, so you can report with or without them. For example:

Code: Select all

- Master Portfolio
  - Holdings
    - Account 1
      - InvTypeA
      - InvTypeB
    - Account 2
      - InvTypeA
      - InvTypeB
  - Grouped By Type
    - All InvTypeA
      - L:Acct1-A
      - L:Acct2-A
    - All InvTypeB
      - L:Acct1-B
      - L:Acct2-B

Now, if you want to see a sum of all your account holdings, without including the linked subs, just report at the new "Holdings" level.

You can have as many levels of sub-portfolio hierarchy as you need/want.

[fiscalis]

Hi Mark,

Your work around does work. However, using the linked sub-portfolio feature at any level, causes the total value of the entire portfolio to be reported at an inflated amount which quickly becomes diffucult to track down without some detailed investigative work. It's pretty easy for me to spot because of the way I've set up the links and the originals each should contribute 50% to the reported value of the portfolio. Consequently, if this is wrong, I know something is amiss right away. However, if I was only linking some of my sub-folders, there would be no easy way to spot a linking error without knowing the contribution percentages in advance.

As such, being able to not count the linked portfolios in asset totals seems a logical extension of this feature since the value of the asset is already reported in the actual home portfolio folder.

What do you think? Is there an easy way to add this functionality in the next update fix?

THANKS!

Bill

[Mark]

Hi Bill,

I think it is more consistent to include link subs in the totals of their parents. If you don't want to include it, you have the option of moving it into a separate hierarchy. You can have as many levels of hierarchy as you want, so you can report at a level that includes only your non-link subs if you want.