Tracking dividend reinvestments

Introduction

The dividend reinvestment feature in Sharesight allows you to record dividend reinvestments. You can choose to record a dividend reinvestment when you add or edit a dividend. When a dividend reinvestment is recorded, a dividend reinvestment trade for the new shares is recorded in your portfolio, in addition to the dividend record.

Important note: Select ASX and NZX listed shares have an option to automatically record dividend reinvestments. This option is only available for companies that have offered a Dividend Reinvestment Plan (DRP or DRIP) and we have the DRP data available. In some cases the DRP price is available for some dividends of a holding but not all of them.

Setting Up Dividend Reinvestments - Sharesight Portfolio Management

Manually recording dividend reinvestments

To record a dividend reinvestment, click on the dividend that is to be reinvested and then click the ‘Dividend Reinvested’ tick box. Enter the date, quantity, and price of the new shares obtained.

sharesight_dividend_reinvested

Enabling the automatic dividend reinvestment function

When available, the automatic dividend reinvestment function can be accessed via the ‘Holding Settings’ section on the individual share detail page. The dividend reinvestment is enabled individually for each share holding.

Setting up automatic dividend reinvestments

sharesight_dividend_reinvestment_setting

Turning on the automatic dividend reinvestment feature will automatically create a dividend reinvestment trade for any system created dividends for which we have the dividend reinvestment plan data available. This means that a dividend reinvestment trade will automatically be recorded for any historic system created dividends, as well as for future dividends. System created dividends are indicated by the lightning bolt icon:

icon - lightning bolt

If you do not want to create dividend reinvestment trades for your historic system created dividends you need to save these dividends first. Save any existing system created dividends by clicking on the dividend and then clicking the ‘save’ button (this will remove the magic wand icon).

Disabling the automatic dividend reinvestment function

The automatic dividend reinvestment function can be disabled by clicking on the “turn off” link below the dividends table on the individual share detail page. The dividend reinvestment is disabled individually for each shareholding. Turning off the automatic dividend reinvestment will automatically delete the dividend reinvestment trade for any system created dividends. System created dividends are indicated by the magic wand icon: icon - magic wand

If you do not want to delete the dividend reinvestment trades for your historic system created dividends you need to save these dividends first. Save any existing system created dividends by clicking on the dividend and then clicking the ‘save’ button (this will remove the magic wand icon).

Deleting a dividend reinvestment

To delete a dividend reinvestment click on the either the dividend record or the dividend reinvestment trade and un-tick the ‘dividend reinvested’ tick box, then click the ‘save’ button.

Tracking residual balances

Tracking residual balances can improve the accuracy of automatically calculated dividend reinvestments by allowing you to specify additional rounding and carry-forward options as per the company’s DRP plan.

To start tracking residual balances, expand the ‘Holding Settings’ section from the Holding Page sidebar for one of your holdings that currently has the DRP option available and click ‘Turn on’:

DRPTurnOnSSNEwforTRB

Choose one of the options under ‘DRP Settings’:

DRPSettingSSNewSelectOptions

  • Round down – Rounds down the shares allocated as a result of the DRP, so the residual value is lost.
  • Round to the nearest – Standard rounding rules will apply.
  • Round up – Rounds up the shares allocated as a result of a DRP.
  • Round down and track balance – Rounds down the shares allocated as a result of a DRP, and any residual balance will be carried forward to the next dividend reinvestment. If you select this option your first unconfirmed dividend will have a ‘DRP balance’ of $0.00 by default (you may edit this if you wish). The balance is then carried forward for calculating the next dividend. Important: if you select this option, it is vital to confirm dividends in chronological order!

Last modified on April 19, 2017 UTC