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Investment expense shows as a gain

unknown

Investment performance report shows expenses as gains. IE in a mutual fund with a monthly fee the fee is entered as an Investment Expense. When I run an Investment Performance report that fee shows as a gain. If I click on that line a windows pops up which shows the entry as "Investment Exp." If I change it to "_Investment Exp" it dosen't make any difference.

Is it me or Quicken???

Thanks

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UKR

Can you show us excerpts from your Category List, showing the definitions for both of the categories you mentioned?

Can
you please capture one or more images of the parts of your Quicken window
showing the issue, sensitive information blacked out as necessary to protect
your privacy but annotated to describe the situation, and attach the image(s)
here?

The Windows Snipping Tool (available with Windows 7 and up) can be used to
capture a partial screen image and save it to a file. Microsoft Paint can be used to annotate the
image.

https://support.microsoft.com/en-us/help/13776/windows-use-snipping-tool-to-capture-screenshots

To take a screenshot in Mac please see https://support.apple.com/en-us/HT201361

Please create image files of type PNG, JPG or GIF only.

To attach the image here, start composing your reply. At the bottom of the text
entry window you'll see a row of icons beginning with B I U S

Click the camera icon (not the video camera icon). It will allow you to select
and upload the captured image file from your computer. The captured image will
be inserted at wherever the cursor is located in the text.

Sherlock

The Investment Performance report should show expenses as Returns - not gains.

unknown

Thanks. I'll work on the screen captures shortly. But meantime, since I'm not an accountant, how do expenses become returns? And yes, those fees do show in the returns column.

unknown

Screen capture:

Even though the 2 $25.00 entries are entered as Investment expense they show as an increase. Note: Where the "Action" shows as Cash it's entered as a Withdrawal.

Jim_Harman

I agree "return" can be a confusing term.

For the IRR calculation that the Investing Performance report performs, a fee that is deducted from the account is treated the same as a withdrawal. It is included in the returns but it reduces the ending market value.

Jim_Harman

One way to think about this is that the Investment Performance report is trying to show the performance of the underlying securities, taking into account the timing of any purchases or sales.

It does not distinguish between "good" withdrawals, i.e. ones that benefit you and "bad" withdrawals, ones that benefit the financial institution.

Likewise, it does not produce a higher Avg annual return if you made a deposit or had a fee refunded during the period.

If you have been lucky or smart enough to buy low and sell high, that will be reflected in a higher Average annual return.

unknown

Thanks! I see what you're saying. Let me look into it. I appreciate your quick comments.