How can I get a true picture of how a mutual fund is doing after it pays a reinvested dividend? For example,
1/1/2007 Buy 100 shares of ABC mutual fund for $50 per share, $5000 total.12/13/2007 Shares are worth $55 each, $5500 total, and I can easily see that my fund has earned 10% for me.
12/14/2007 Company pays a $5.00 dividend & capital gains distribution which I automatically reinvest. The share price is knocked back to $50 by this payment but now I have 110 shares and my investment is still worth $5500 and has still grown by 10% for the YTD however, in Quicken 2007, it shows that my YTD gain is nothing.From an investment performance standpoint, those extra reinvested shares should be calculated as costing zero to bring down the average cost per share. And please, I am not talking about taxes or accounting. I understand why Quicken does what it does. All I want is a clear picture of the real performance of the fund. Thanks!