Why Do I Need to Manually Accept SOLD Security Positions

Pat Sills
Pat Sills Member ✭✭✭
in Investing (Windows)

When I sell a number of security positions, they download and show up in my Merrill Lynch (ML) account ledger. I click accept all, and a message appears that I must proceed to a wizard dialogue to accept each position one by one. I highlight each single sold transaction, and a button appears to manually accept the transaction. I click that button and the sell transaction is accepted.

Why is this process in Quicken? It's of no use. There is never a question of whether I'd like to accept a transaction. If ML sends it to me, it's correct. I'd like to simply ACCEPT ALL.

Ken

Answers

  • Jim_Harman
    Jim_Harman Quicken Windows Subscription SuperUser ✭✭✭✭✭

    If you are selling less than your full holding of a security and you have more than one tax lot of that security, Quicken needs to know which shares you want to record as Sold. That information is not included in the download from the brokerage. This affects Quicken's Cost Basis and Realized Gain calculations.

    There is an option to tell Quicken to use FIFO or LIFO without asking each time. It is at Edit > Preferences > Downloaded Transactions > Lot assignment after investment download. Sadly, the other two default options, Maximum Gain and Minimum Gain, are not available as defaults.

    QWin Premier subscription
  • Pat Sills
    Pat Sills Member ✭✭✭

    Thanks for that explanation. I understand. I don't use Quicken for cost basis or realized gains. I keep all this data in an Excel spreadsheet for daily access, and my brokerage sends me accurate reporting for taxes.

  • Chris_QPW
    Chris_QPW Quicken Windows Subscription Member ✭✭✭✭

    If all you want to do is track the number of shares, price, and cash then you might want to consider using Simple investment mode.

  • NotACPA
    NotACPA Quicken Windows Subscription SuperUser ✭✭✭✭✭

    IF you don't tell your broker, at the time of the sell order, which lots you want to sell from, they'll almost certainly use FIFO.

    Since you don't use Q for that sort of tracking, you might as well go ahead and tell Q to use FIFO and save yourself that step.

    Q user since February, 1990. DOS Version 4
    Now running Quicken Windows Subscription, Business & Personal
    Retired "Certified Information Systems Auditor" & Bank Audit VP

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