Overview
This article will outline how to record Managed Investments in Custom Control accounts.
This method grants users greater control over how the Management Investment appears on reports. Furthermore, it distinguishes the investments included in a Managed Investment from other identical investments not encompassed within it.
For instructions on other methods used to record Managed Investments, see the following articles:
- Recording the Managed Investment using a Single Investment account
- Recording each investment held separately in their own account.
Instructions
| From the Main Toolbar, go to Accounting. |
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| Select Chart of accounts from the list. |
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- First we will create the Custom Control Account. Click Add Account and select Other:
- Click More Details>> to expand the window:
- Enter the details for the Managed Investment then click save.
This includes inputting a unique account code within the 70000-79999 range and selecting the desired default SMSF Tax Label.
The name input should reflect the name of the Managed Investment as a whole.
The next step is to add Sub Accounts that represent all investments held in the Managed Investment.
- Click Add Account and select Investment:
- Input the details for the desired investment.
Ensure that the Control Account created in Steps 1-3 is selected as the Investment Type.
Note: If the Investment Code already exists, the system will use the next available unique code.
(e.g: CBA.AX > CBA.AX1 > CBA.AX2 > CBA.AX3)
- Select More Details>> and ensure the details of the Investment are correct.
This includes ensuring the Unitised status, SMSF Tax Label, and Linked Accounts are all correct. Note that these can all be changed in the future if needed.
- Repeat Steps 5 and 6 until all investments are added for the Managed Investment:
Now that the accounts are set up, transactions can now be recorded for these investments.
- If inputting Opening Balances, these can all be recorded in one transaction similar to any other investment. See Opening Balances > Instructions > Balance Sheet for further instructions.
- Alternatively, if this Managed Investment is being transferred into the fund, it can be recorded in one transaction similar to the example below:
Once initially established, these managed investment sub-accounts can be used identically to any other investment account.
Sample Reports
The Statement of Financial Position will display this Managed Investment as its own category:
The Detailed Statement of Financial Position displays a breakdown of the Managed Investment:
Note: The Investment Summary will not display the Managed Investment separately as it is split into categories based on the Security, not the Investment Type.