On a monthly basis my brokerage (Vanguard) shows a dividend which is reinvested (dividend → buy) in the money market security held in my sweep account (PP’s deposit account). This case, in which there is not a security account associated with the money market fund (e.g. all transactions are internal to the deposit account). Currently when I import dividend/buy, my deposit account in not in sync with the brokerage balance. I need some guidance as to how to handle these transactions in PP. Thank you!
To be honest, I don’t understand your question!
When it is all internal, why are you getting import files? And if it’s with dividends and buy, where does the difference come from?
Vanguard provides a list of transactions (dividends, buys …) in their export file. This includes the reinvestment of dividends generated by a money market kept in my sweep account (the account used to fund purchases). In this brokerage account, I only have money in my sweep account (I have not purchased any securities), so in PP, security account =0, deposit account = value of money market + dividends. The PP model assumes that dividends would be temporarily moved to the sweep (deposit) account which is then used to purchase the dividend yielding security in the PP security account, but in this case there is no security account involved in the transaction. So, I am trying to understand how this type of transaction (internal to a deposit account) should be represented.