|
|
Re: Muliple currencies & bank accounts per share[ Message Board ] [ Archives ] [ Search ] Posted by Paul King on January 26, 2006 at 16:35:08:In Reply to: Re: Muliple currencies & bank accounts per share posted by Mark on January 26, 2006 at 09:55:25: : Hi Paul, : I'm not sure I'm following the problem... : : Also, need to ensure than when this holding is sold, that the second subportfolio required to handle recieving dividends also automatically knows that shareholding is sold - even when sale proceeds go to first subportfolio currency : Every investment keeps track of its own purchases and sells. Are you saying you'll have multiple subportfolios, one for each holding of a security in each currency? This seems fine. Why does one subportfolio need to know/care if that investment was sold in another currency? Only because I thought you were implying that you needed to set up the same share twice in this way - with same holding set up again for each currency it transacts in...? - eg one version for trading, another for dividends? : : to elaborate further with an example - a share purchased & sold in one curency can only recieve its dividends (& be taxed) in another currency. : Do you mean you're buying and selling in one currency, but actually receive dividends in a different currency for the same holding? I am not familiar with this, I've only ever heard of all transactions being seen by the customer in one currency. The security may pay out in one currency, but the broker would exchange that into the same currency that you buy and sell it in. No? YES - unfortunatly that is exactly my issue. And yes I guess my broker or any bank could, as a seperate transaction, convert from currency recieved back into currency of origin that shares are traded in - but there is no particular reason to do that & pay the exchange fees except to work around the Fund Manager issue... and the trading bank account would not record the actual dividend recieved, because exchange costs would be deducted en route but not recorded against this account - with tax implications This is becoming increasingly common in my part of the world as overseas direct dredits are cheaper to issue than dividend cheques, and because it is not possible to direct credit between countries except using currency of recipients domiciled bank acount . hope that makes sense?
Yes - this scenario is exactly the problem for me, and I suspect the issue will become increasingly common - in fact issue probably already common within a single currency even if not reported - eg when dividends are actually direct credited out to a seperate personal living expenses account unrelated to the investment trading account Would it be technically possible to allow fund manager to assign more than one account to an investment to handle these situations? THis way it would be SO much simpler to reconcile bank account transactions I realise this is less than ideal from several perspectives, but life is not always so "tidy" :}
|
| FundManagerSoftware.com | Search | Site Map | About Us | Privacy Policy |
| Copyright ©1993-2025 Beiley Software, Inc. All rights reserved. |