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Merger of same mutual fund to a different class

This has been discussed a few times, but I can't seem to get this to work.

Schwab recently collapsed their mutual funds getting rid of some classes of the SAME fund.

I held fund "SCHAAA" which is now fund "SCHBBB" (same mutual fund name, different symbol - see

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Their FAQs indicate "These symbol changes are part of share class collapses that are considered to be tax-free for U.S. Federal income tax purposes." So it is NOT a sell and repurchase, since I lose the cost basis and it's not a taxable event.

Schwab's website sez I sold (example to get the point across) 1000.00 shares of SCHAAA and bought 999.990 shares of SCHBBB, a slightly less number.

I tried a stock split using the number of old shares (ex: 1000.000) and the # of new shares (999.990), but Quicken changed the number of new shares to a slightly different number (eg: 999.998323) which I assume is some sort of round off error. So my number of shares don't quite match Schwab's website - darn close, but not correct. And I know this will bite me at the end.

I suppose since I don't use Q to calculate cost basis, I could indeed simply 'sell' and 'buy', but then my price history won't be right.

Any ideas??

Reply to
Andrew
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I think the Corporate Acquisition transaction is the most frequently used "solution" in this situation. It is probably not an ideal solution, but I think it usually works.

But since it too, like the Stock Split transaction, requires giving Quicken a ratio to use to compute the number of new shares you'll have; it too may not get the number of new shares exactly correct (though I think you should be free to experiment with the ratio to see if you can find one that will create the correct number of new shares - 1000.000/999.991, for example). If no ratio produces the exact number of new shares correctly, I don't see why you can't just enter an "adjustment" (an Add Shares, or Remove Shares) to get the share balance correct.

Reply to
John Pollard

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Thanks John - I'll give that a try - I was thinking about the adjustment as well. Appreciate it. Enjoy the rest of the little summer we have left.

Reply to
Andrew

Good point - along with some prominent comments indicating it was a repurchase of essentially the same security to keep my records straight, but indeed work. Thanks Tom.

Reply to
Andrew

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