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INVESTING SOFTWARE BUILT BY ICLUBCENTRAL INC.
||May 24, 2007
This is not a communication from BetterInvesting™ or
We're ICLUBcentral. Since 1989, we've provided software and services for the majority of U.S. investment clubs.
Since the merger of TD Waterhouse and Ameritrade, former Waterhouse customers have noticed a change in the number of shares they own. Waterhouse kept track of stock purchases to four (4) decimal places (12.3456 shares), while Ameritrade kept track of purchases to three (3) decimal places (12.345 shares). Post-merger, TD Ameritrade tracks only to three (3).
What happened to the fraction?
In short, as of May 8th, 2007, TD Ameritrade rounded up, even if you had the barest fraction of a share. For example:
Your club owned 60.2011 shares of XYZ Company.
After the merger, your club now owns 60.202 shares of XYZ Company.
The extra 0.0009 shares were purchased by TD Ameritrade on your behalf.
There are no sales or purchases in connection with these shares.
How do I track this in Club Accounting?
Well, if you donít have any fractional shares, youíre fine Ė thereís nothing you need to do at all. If you do have fractional shares, hereís what to do:
Do not make a beginning balance adjustment.
Do not purchase more shares to make the numbers come out.
Instead, this should be entered as a stock split.
Step 1) Select Stock Split:
Step 2) Fill out the form for the stock split, selecting the stock and all details. For the Shares after the split field, enter the new number from the broker statement.
For example, if I owned 60.2011 shares and the broker statement now says I own 60.202 shares, I would enter 60.202 in the Shares after the split field.
Step 3) Complete the stock split:
Thatís it! Repeat for any other stocks that have been rounded. If you need further assistance, please don't hesitate to contact our ICLUB Support Team.
In some instances, the conversion to TD Ameritrade has resulted in small monetary adjustments, on the order of $0.14. We are told this has nothing to do with the adjustment to the shares, but is an adjustment of the interest income for the cash balances held at Waterhouse for a portion of the month. You can enter this as interest or money market dividends, as the case may be.
If you're a Treasurer using the powerful online accounting engine at myiclub.com, you've pretty much got it made. You don't have to worry about updating the software, like your fellow Treasurers using Club Accounting for the desktop. Your updates are entirely automatic. On the other hand - it might just be time to renew your subscription. Since myiclub.com was originally launched in the month of June, many of our clubs are due for renewal in the next month.
Don't get stuck with this message right before your meeting:
"According to our records, your subscription to Club Accounting Online has expired on 5/21/2007. To restore your club's access to Club Accounting Online, please re-subscribe here."
Here's how to check when you're due to renew:
Go to www.myiclub.com and log in.
On the right-hand side of the page, beneath the Message Boards section, look down at the Subscription section.
Read the expiration date. If it's coming up soon, renew now, at https://www.iclub.com/store/noca.aspx.
Your renewal adds on to your existing subscription, so even if you have a month or two to go, there's no reason not to renew now.
So, remember -- renew now when you have the time, instead of waiting for the next club meeting.
Now is your chance to purchase ICLUBcentral's most popular investing tool and revitalize your investment club at the same time. Between April 15 and June 30, ICLUBcentral will rebate your club $20 for every copy of Toolkit 5 when your members buy 5 or more.
Stock analysis and portfolio tracking are just as crucial to an investment club as keeping the club books. We've found that the healthiest and most successful clubs encourage their members to own their own analysis software. It's important for each member to be able to fully participate in creating stock studies (*.ssg) and evaluating potential winners for the club. Now in its fifth edition, Investor's Toolkit is the perfect investing tool to empower your club members to remain active and help your club invest successfully.
Visit the TK5 Rebate Page for more information, or download a Rebate Form today!
You might not see Sean Pulrang on a daily basis like the rest of us do here in the ICLUB offices in Harvard Square, but you've probably had the pleasure of speaking with him on the phone once or twice.
For the past five years, Sean has been one of the leading members of our Support Team, and in recognition for his hard work, he was promoted to the role of Assistant Manager on May 21.
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Some ICLUBcentral products use the investing methodologies of BetterInvesting, a national nonprofit organization dedicated to investor education. However, ICLUBcentral and BetterInvesting are entirely separate organizations. BetterInvesting assumes no liability or obligations with respect to the investment education information or other content presented in the ICLUB Insider.