External cash added, investment profit and dividends received answer different questions. Keep the definitions consistent before comparing months.
Record external contributions first
Net external contribution is cash or assets brought into the measured portfolio minus amounts taken out. Buying a share with cash already in the account is an internal trade, not new funding. Record transfers between your own included accounts consistently so they cancel at the combined-portfolio level. A broker statement is the starting source for deposits, withdrawals and any asset transfers requiring valuation.
Reconcile the change in total assets
For a consistent scope and currency, investment profit in money can be reconciled as closing assets − opening assets − net external contributions. Include cash in both asset totals. This identity measures money gained or lost, not an annualised or time-weighted percentage. A percentage return with contributions on different dates needs an appropriate cashflow method and cannot be inferred from this subtraction alone.
Use a small example to catch double counting
Opening assets are RM10,000, deposits RM2,000, withdrawals RM500 and closing assets RM11,500. Net funding is RM1,500, so investment profit is zero. Suppose RM100 of dividends remains in the closing cash balance: do not add it again. In a simplified account with no other adjustments, that RM100 is offset by RM100 of other losses or costs. The dividend record still matters for explaining the result.
| Measure | Example | Interpretation |
|---|---|---|
| Net external contributions | RM2,000 − RM500 = RM1,500 | New money, not profit |
| Investment profit in money | RM11,500 − RM10,000 − RM1,500 = RM0 | Includes cash and all changes within scope |
| Received dividends | RM100 | Already included if retained in closing cash |
DividenNote net purchases are not external funding
The current monthly review calculates net purchases from trade cash: buy amounts including fees minus sale proceeds after fees. It does not track all external deposits, withdrawals or a historical total-account valuation. Use that metric to review trading activity, and reconcile external funding separately from statements. Received dividends can be reviewed in the journal, but a complete monthly portfolio return still requires the opening and closing account information.
End with one practical action
Check missing receipts, unexpected fees or a concentration that has drifted beyond your own limits. Write down one action and its reason, rather than trading because a monthly review is due. Save a backup after reconciliation. The worksheet provides a manual record for the three groups and a place for notes; it does not connect to a broker or calculate performance automatically.
Download the worksheet
Put it into practice
Use DividenNote for trades and received dividends. Fill the separate worksheet from statements for external funding and total-account balances.
Open DividenNote