Hi Larry, The best way to handle a basket of stocks that I've found is to make a mini mutual fund from the basket. To do this you'll be adding up the total value of the portfolio and then give it an arbitrary number of shares, say 1000.
So, if your basket's value is $10,000 and you start it with 1000 shares, you "Net Asset Value" (NAV) is $10 per share. In this case, you would put the "LARRY FUND" in Newport with a symbol of LGFnd, the name Larry's Fund and enter 1000 shares at $10/share. Enter your estimated cash reserve as well.
Now, next week when you are to update, sum the value of your "basket" and divide by 1000. This will give you the price per share to enter into the program. Let's assume that the value is now $10,500. You would enter $10.50/share as the price.
When you Buy or Sell according to AIM and Newport's wishes, you will be selling "average" shares based upon the NAV at that time. For instance, let's assume that AIM's directed you to sell $1000 of your "fund." Let's also assume that you've decided to sell some shares of LU to satisfy it. On that day LU is selling for $76 per share. You would sell 13 shares of LU.
Now, AIM/Newport is assuming you are selling "average" shares that are worth $12.22 NAV. So, in Newport, you will enter the Sell trade as 81.833 shares sold at $12.22 (total value equal to $1000).
Next time you update the prices you'll take the total value and divide by 918.167 shares that remain in the account. This will give you the new NAV to enter into the account.
This probably sounds more complex that it really is. Once you get the hang of it, it's easy.
As always, keep similar stocks from similar market sectors in you "basket" as this helps to keep them all moving in the same direction.
Best regards, Tom |
