I use quicken to track my retirement account. Recent I sold a mutual fund for $63000. The overall cost for the fund was $55000. The entire $63000 was put into a money market fund. The overall value of the account is $130,000 which now includes the $63000. When I request a "Performance & Analysis" to assess the graphical trajectory of my portfolio value and cost basis, I notice that after the sale of the fund, my cost basis dotted curve jumps up literally the day after the sale of the fund by $8000. I have had no new transfers into the account.
Why does the cost basis increase by the value of my net gain? Should the cost basis not just reflect what I invested? Can someone explain this?
My guess is that now that the $8000 been realized gains, then it is now part of my cash holdings and going forward it does represent my total cost if I were to reinvest the entire $63000 into something else.
Is there any way to graphically show just what my overall cash input has been into the account? Thanks.