Thursday, January 24, 2013

Have a double data entry process for your demo account

When running a paper account or demo account have your actions and totals listed together so they can double check each other...

I was looking at the ETF Account this morning and noticed my Brazil position EWZ was down -13%. However looking at its chart since I bought shares, it has been flat. If this were a normal account I could just check my broker activity and compare to my numbers to see where I am wrong. Or to see where they are wrong and call them to fix it! Upon closer scrutiny of the ETF account, I noticed I was short 1 share that I had purchased. I had listed the purchase separately below the totals and they didn't match. My totals at the tops showed an average purchase price for EWZ at $66. It hasn't been above $60 since May of last year.
If only the totals were recorded it would have been harder to find especially down the road after I buy in a couple more positions into the total.

Disclaimer: The investments and trades in my videos and blog entries are not recommendations for others. I am not a financial planner, financial advisor, accountant, or tax adviser. The financial actions I talk about are for my own portfolio and money and only suited for my own risk tolerance, strategy, and ideas. Copying another person's financial moves can lead to large losses. Each person needs to do their due diligence in researching and planning their own actions in the financial markets.

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