A.I.M. Users Bulletin Board

[Toofuzzy]

Hi ET Reguarding Dividends:

For STOCKS I would not adjust PORTFOLIO CONTROL for dividends. I would either spend them or add to CASH. They do not affect the cost basis for tax purposes UNLESS they are a return of capital.

For MUTUAL FUNDS there are two parts:

Dividend dividends I would treat as above.

Capital Gains I would REINVEST automaticly but I would not adjust PORTFOLIO CONTROL. You will have more shares at a lower cost so it is a wash.For tax purposes the new shares have their own cost basis UNLESS you use "average cost" for valueing your cost when you have sales of mutual funds.

hope this isn't to
Toofuzzy

Take the road less traveled. It will make all the difference.