Adding Dividend Payment to Morningstar and/or FT.com

Lokolo

Ok so I add my portfolios to Morningstar and FT.com to track them in their own ways.

I got a 'dividend' payment from one of my funds, a measly £1.46. HL just take it off the total amount put in, but I can't seem to add this to either portfolios. I can add cash but then it doesn't count it as my portfolio (as it puts it in my cash part!)



Prices are all the same but because the costs are different (as HL take off the cost to work out the final changes), it all adds up differently.

I can't picture the Morningstar one because their unit prices are currently different.

What do I do?

thrupence

In Morningstar, if you go to edit you'll find a tab for entering dividends.

Why are you getting dividends anyway? Is it an income fund?

Surely at your age you'd be better off with an Accum fund. Much less hassle.

Lokolo

thrupence wrote: »

In Morningstar, if you go to edit you'll find a tab for entering dividends.

Why are you getting dividends anyway? Is it an income fund?

Surely at your age you'd be better off with an Accum fund. Much less hassle.

Funnily enough it is an Acc. Yet it pays bi-annual dividends.... but it just stays into the S&S so it doesn't get put into the cash part of my account, doesn't give me extra units, but instead randomly gives me £1.46 off my total paid for. Don't really get it to be honest! I always thought Acc would just increase unit price more over time.

I edited by FT.com portfolio by editing the price of my latest transaction and lowering it slightly til it got to exact numbers.

Thing is it still doesn't make sense because I haven't actually recieved this £1.46, but its there. I still pay £50 a month for X number of units but it says my total paid in is £548.54 (whereas it should be £550). I have paid in £550, haven't got the £1.46 back or anything!

thrupence

Lokolo wrote: »

Funnily enough it is an Acc. Yet it pays bi-annual dividends.... but it just stays into the S&S so it doesn't get put into the cash part of my account, doesn't give me extra units, but instead randomly gives me £1.46 off my total paid for. Don't really get it to be honest! I always thought Acc would just increase unit price more over time.

I edited by FT.com portfolio by editing the price of my latest transaction and lowering it slightly til it got to exact numbers.

Thing is it still doesn't make sense because I haven't actually recieved this £1.46, but its there. I still pay £50 a month for X number of units but it says my total paid in is £548.54 (whereas it should be £550). I have paid in £550, haven't got the £1.46 back or anything!

What fund is it?

Presumably this isn't the loyalty bonus?

Lokolo

thrupence wrote: »

What fund is it?

Presumably this isn't the loyalty bonus?

Not LB because it came up on that individual funds transactions.

http://www.h-l.co.uk/funds/security_details/sedol/3034909
or
http://www.trustnet.com/Factsheets/Factsheet.aspx?fundCode=LERGCA&univ=U

Both say distribution dates are 31st March (and 30th Sep) which is the date of the transaction.

---

transaction list for the fund.

sabretoothtigger

1.46 would be the change after buying whole units I guess except yours cost less then a pound?

Lokolo

sabretoothtigger wrote: »

1.46 would be the change after buying whole units I guess except yours cost less then a pound?

Yes they mainly cost less than £1. But I don't get how I've recieved this money? Its not like I have bought more units with it, or have it in my cash account to then spend. But it now says I've only paid in £548.54, so makes it look as though I've made more than I have (because I have actually paid in £550)

thrupence

Lokolo wrote: »

Not LB because it came up on that individual funds transactions.

http://www.h-l.co.uk/funds/security_details/sedol/3034909
or
http://www.trustnet.com/Factsheets/Factsheet.aspx?fundCode=LERGCA&univ=U

Both say distribution dates are 31st March (and 30th Sep) which is the date of the transaction.

---

transaction list for the fund.

If you're only getting £548.54 worth of units when paying in £550, does that not mean it's more like some sort of charge than a dividend?

Sabre beat me to it....

Lokolo

Charge or change...?

I originally thought it was a charge(!).

Thing is I have paid £550 for 997.50 units. Averages out to be 55.13p a unit.
Price per unit is now 55.21. Meaning I am making a loss of 79.8p.

However, HL is saying I have only paid £548.54, which means the average cost per unit I have paid is 54.99p. Meaning with the price per unit of 55.21 I am making a gain of 218p.

But in reality if I sold now, I would be in a loss because I have paid £550 in and would only get £549.21 back which means that £1.46 it just randomly there having done nothing, not paid to me or anything.

thrupence

Lokolo wrote: »

Charge or change...?

I originally thought it was a charge(!).

Thing is I have paid £550 for 997.50 units. Averages out to be 55.13p a unit.
Price per unit is now 55.21. Meaning I am making a loss of 79.8p.

However, HL is saying I have only paid £548.54, which means the average cost per unit I have paid is 54.99p. Meaning with the price per unit of 55.21 I am making a gain of 218p.

But in reality if I sold now, I would be in a loss because I have paid £550 in and would only get £549.21 back which means that £1.46 it just randomly there having done nothing.

It's looks like some sort of charge. You're paying in £550 and only getting £548.54 worth of units. The good news is that you won't have to amend your portfolio on Morningstar or FT as it'll just be reflected in your overall profit or loss. You could also enter it as commission.

It'd be interesting to phone H L to see exactly what it is for.

ShaunT_2

I had the same thing on my account and emailed HL.....this is the reply I received.....

Dear Mr Taylor

Thank you for your recent email.

After further investigation, I can confirm that your cost figures have been reduced as a result of equalisation payments.

Equalisation was applied because you purchased units in-between income distribution dates and you were therefore not entitled to the whole dividend for the period. As a result, the first income payment you received were smaller than the usual income payments. However, the price you paid for the units incorporated the income due on it up to that point, and this equalisation payment needed to be returned to you to make up the full dividend payment for this period. Equalisation is deemed to be a return of capital and therefore, has the result of reducing the cost of the units.

You held accumulation units within these funds and therefore, the income and equalisation payments were reinvested at source and rolled up into the price of the units as opposed to being physically added to your account. However, the equalisation portion of the payments were deducted from the original purchase costs.

Equalisation only applies to the first distribution when you make a new investment into a fund. However, since you are purchasing funds on a monthly basis you will expect to see further equalisation deductions in due course.

I trust this information is of assistance. Should you have any additional queries please do not hesitate to contact the Investment Helpdesk on 0117 900 9000.

Yours sincerely,

Alison Bufton
Senior Investment Support Consultant

HTH

ShaunT