Default Cash Account


A "Default Cash Account" is an investment that has been assigned to be the default cash account for a sub-portfolio.  Every sub-portfolio can be assigned its own default cash account.  A sub-portfolio does not have to use a default cash account, you can set this property to "(none)" so that no default cash account will be used for this sub-portfolio.  The default cash account assignment can be made in the Portfolio Properties Dialog.


When a default cash account is assigned to a sub-portfolio the selected investment will automatically be debited or credited with the proceeds from recorded transactions for investments in this sub-portfolio. For example, assume investment "Cash" is defined as the default cash account. Investment "ABC" belongs in this sub-portfolio.  When a purchase of $1,000 in investment "ABC" is recorded, an associated redemption for $1,000 in investment "Cash" will also automatically be recorded. There are three types of transactions that will generate an associated transaction in the cash investment: purchases, redemptions, and distributed distributions.


Using a default cash account helps maintain a relatively constant portfolio value, such that a more accurate picture of portfolio performance can be observed. (Related Tip: Often a cash account is kept at a constant $1 share price, such as in the case of a money market or savings account.  Record purchases, redemptions, and distributions in a cash account just like any other investment, but keep the share price constant at $1 while adjusting the number of shares.)

The default cash account will contain the transfers of money for transactions that you record in Fund Manager while this cash account exists, and is assigned as the default cash account.  Just assigning it after the entry of transactions will not cause Fund Manager to go back and create entries in the cash account.  The entries are recorded in the cash account when you record transactions only.


When you manually enter transactions the default cash account is always used if one is assigned.  When you paste, import, or retrieve transactions you will be given the opportunity to "Record Corresponding Entries In Default Cash Account".  This option controls whether any assigned default cash accounts will be used.  If your importing/retrieved data already contains all the cash transactions you would want to un-check this option, so that you do not double record the cash entries.


When importing or retrieving transactions causes a new sub-portfolio to be created you will be prompted with the Default Cash Account Assignment Dialog.  This gives you the opportunity to assign a default cash account prior to the import, so you can utilize a default cash account on this importing data if necessary.


If you initially enter/import transactions without a default cash account, and later decide you want to use a default cash account, see the Re-Create Default Cash Transactions dialog.


Video Tutorial:  See the Tutorial on Tracking Cash.

See Also

Portfolio Properties Dialog

Importing Transactions

Retrieving Transactions

Copying and Pasting Transactions

Default Cash Account Assignment Dialog

Preview Importing Transactions Dialog

Re-Create Default Cash Transactions

Tutorial on Tracking Cash


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