Question for Microsoft Money users - Converting from Fund to ETF

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HuckFinn
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Question for Microsoft Money users - Converting from Fund to ETF

Post by HuckFinn »

I recently upgraded to a brokerage account for our taxable holdings. We only own one fund in this account - VTSAX (Total Stock Market Index). We have significant unrealized long term gains in this account. These shares will convert to ETF shares this evening. In speaking with Vanguard this is not a taxable event - the gains will carry over to the new ETF shares.

My question for Microsoft Money users is: "How would one go about recording this in Microsoft Money so that the gains do not automatically become realized in Microsoft Money?"
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galawdawg
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Re: Question for Microsoft Money users - Converting from Fund to ETF

Post by galawdawg »

Can you "remove shares" as to the mutual fund and "add shares" as to the ETF?
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HuckFinn
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Re: Question for Microsoft Money users - Converting from Fund to ETF

Post by HuckFinn »

galawdawg wrote: Wed Sep 16, 2020 8:24 am Can you "remove shares" as to the mutual fund and "add shares" as to the ETF?
I'm guessing you could but I doubt the gains would carry over (which I would like). There's really not a "back button" or "undo" on Microsoft Money so I may just backup first then try a few options, one being what you suggest. Thanks.
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galawdawg
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Re: Question for Microsoft Money users - Converting from Fund to ETF

Post by galawdawg »

HuckFinn wrote: Wed Sep 16, 2020 8:27 am
galawdawg wrote: Wed Sep 16, 2020 8:24 am Can you "remove shares" as to the mutual fund and "add shares" as to the ETF?
I'm guessing you could but I doubt the gains would carry over (which I would like). There's really not a "back button" or "undo" on Microsoft Money so I may just backup first then try a few options, one being what you suggest. Thanks.
You might try entering the conversion as a stock split. That function is in Portfolio==>More Investing Tasks==>Record a Special Activity==>Record a Split. Then enter the ratio of mutual fund shares to ETF shares. That should accomplish what you desire.
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Monster99
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Re: Question for Microsoft Money users - Converting from Fund to ETF

Post by Monster99 »

The stock split method will work if you want to convert in all of your accounts. I had problems when shares converted to Admiral shares in one account but not in other accounts (taxable but not in the IRA). Had to do a remove and add of shares but lost the cost and gain info after the conversion.
Pigeye Brewster
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Re: Question for Microsoft Money users - Converting from Fund to ETF

Post by Pigeye Brewster »

Could you "remove shares" of VTSAX and then enter a buy of VTI with the purchase price being the cost basis per share?
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HuckFinn
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Re: Question for Microsoft Money users - Converting from Fund to ETF

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Pigeye Brewster wrote: Wed Sep 16, 2020 10:46 am Could you "remove shares" of VTSAX and then enter a buy of VTI with the purchase price being the cost basis per share?
I did a couple practice runs trying the different methods. I tried to record it as a split but because I am converting it to the ETF I am ending up with less shares. It would not let me enter a fraction - whole numbers only.

I tried your method Pigeye Brewster of removing the shares and using my average purchase price and it looks like this is going to be the solution.
The only anomaly I may run into it is it might recognize any shares I sell in the next year as short term gains but since I do not use Microsoft Money for my taxes that shouldn't matter. Also, my lifetime planner should still work, again the only error being the way it views gains in the next 12 months.

Thanks All!
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