ETF - Record Cash in Lieu Transaction

Considerations

An exchange traded fund (ETF) is an investment vehicle made up of a fixed portfolio of stocks that usually matches a particular stock index, or tracks a specific sector of the stock market. They are generally fixed pools with little or no management activity. An ETF is typically taxed as a mutual fund under tax rules for regulated investment companies and its shares are generally treated as stock for tax purposes.

Use this page to record a Cash in Lieu transaction for an ETF.

Click one of the icons above to view either a list of the transactions available for that category, or click the Baseline Holdings icon to access the Add New Baseline Holdings page.

Procedure

From the Manually Record Trades page, click the Record ETF icon to access the ETF - Record Transaction page. From this page, select Cash in Lieu from the Action drop-down list. The ETF - Record Cash in Lieu Transaction page displays.

1. Select the account to which to record this transaction, from the In Account drop-down list. If you only have one account, this drop-down list is not displayed.

2. By default, the Action on this page is set to Cash in Lieu. To change this, select a different transaction from the Action drop-down list. The fields that display depend on the transaction that is selected.

3. Enter the trade date equal to the date of the corporate action causing the fractional shares amount in the Transaction Date (mm/dd/yyyy) field. You can also click the Calendar icon and select the appropriate transaction date from the calendar that displays.

4. Do one of the following:

• Select the Symbol radio button - Enter the security Symbol in the field provided and select whether it is Long or Short. You can then click Verify to confirm you have entered the correct symbol for the security. Once you click Verify, the corresponding 9-digit CUSIP displays in the CUSIP field.

• Select the CUSIP radio button - Enter the 9-digit CUSIP of the security in the field provided. You can then click Verify to confirm you have entered the correct CUSIP for the security. Once you click Verify, the corresponding security symbol displays in the Symbol field.

5. Select the type of security from the Security Type drop-down list. By default, this field is set to ETF for this transaction.

6. Enter the amount received for fractional shares from your broker in the Cash in Lieu amount field.

7. To record the Cash-in-Lieu transaction, click the Record button. To record the transaction and continue to enter additional transactions, click the Record & Repeat button. To leave this page, without recording the transaction, click the Cancel button.

Example

Click here to view an example of the ETF - Record Cash in Lieu Transaction page.