Considerations
If you are entering a holding and have already adjusted your shares and cost for a corporate action (splits, mergers, spin-offs, etc.), then use GainsKeeper's 'Adjusted Lot' action to prevent GainsKeeper's system from adjusting your holding again.
By default, GainsKeeper will automatically adjust your holding for corporate actions back to 1/1/1999, if they occurred after you purchased your stock. By using the 'baseline date' field when recording an 'Adjusted Lot', you can prevent corporate action adjustments prior to the 'baseline date'. For example, let's say you bought CSCO on January 10th of 2000 and CSCO split on 3/23/2000. If you record this as a normal 'Buy' GainsKeeper will adjust your shares for this split automatically - unless you decide to override GainsKeeper using the record 'Adjusted Lot' action.
If you want to use the 'Adjusted Lot' action because you've already accounted for the 2:1 split of CSCO in your records, then as of 3/23/00 your current holding or adjusted position is:
|
Purchase Date |
Baseline Date |
Shares |
Total Cost |
|
1/10/2000 |
3/23/2000 |
200 |
$6,679.96 |
Select the Adjusted Lot action and enter the ending 200 shares and $6,679.96 cost basis. In this example, you should enter a "baseline date" of 3/23/2000, as well as the original purchase date of 1/10/2000. Remember that the 3/23/2000 baseline date represents the last date that you updated your holdings and cost basis. GainsKeeper will not adjust this lot for any corporate actions occurring on or prior to this 'baseline date' (since you have already done so). GainsKeeper will automatically adjust this lot for corporate actions and wash sales A wash sale is trading activity in which shares of a security are sold at a loss and a substantially identical security is purchased within 30 days. The subsequent purchase could occur before or after the security is sold, creating a 61-day window that must be monitored to identify wash sales. after your baseline date. The baseline date can be specific to each lot you enter. The share amount in an adjusted lot entry should already be adjusted for any sell activity off of the lot prior to the baseline date. Only sells dated on or after the baseline date should be recorded against an adjusted lot.