Investment Accounting (short overview) | Banana Accounting+

Integrated Investment Accounting — Short Overview
Banana Accounting Plus
Welcome to Integrated Investment Accounting in Banana.
With Banana Accounting, you can manage your accounting and securities together in a single file.
Or use it exclusively for securities management, keeping your accounting in a separate software.
New features let you handle even sophisticated investment portfolios directly in Banana, saving significant time.
In this video, we'll show you how they work.

Chart of Accounts setup
In the Accounts table, you set up your chart of accounts.
You enter all your regular accounts, plus the accounts for your securities.
Each security has its own account
with a description
the group in which the security is to be totaled
a currency
and an opening balance

Items Table setup
The Items table serves several purposes, one of which is managing your securities.
This is where you define each security, which we simply call an Item.
Each Item has its own Item ID
a description
the group in which the item is to be totaled
the Asset Account, which links the security to the corresponding account in the chart of accounts.
This link is what connects your portfolio to your accounting.
the Asset Type, to define the type of security
"1" for stocks and investments measured by quantity
"2" for bonds and investments measured by nominal value
the Current Quantity is calculated by the program

Recording Transactions
The Transactions table is where you enter all your accounting transactions.
Here, we'll focus specifically on securities transactions, using shares as practical examples
Transactions can be single-line
or even multi-line.
When recording a transaction, you enter the Item you defined in the Items table
a description
the debit and credit the asset accounts
in debit when recording purchases
in credit when recording sales
the quantity
positive for purchases
negative for sales
and neutral for value adjustments that change the value without affecting the quantity.
the unit price
the amount is calculated automatically, showing the total value.
The same logic applies to bonds, with additional information for nominal value and accrued interest.

Realized and Unrealized Gains and Losses
Let's look at some typical securities transactions.
This is an example of a realized gain or loss transaction, calculated by the program when you sell a security.
This is the market adjustment transaction, used to align the book value with the current market price.
There are several extensions that can perform calculations, automate a variety of tasks, and generate reports.
For example, the Security Card report provides a detailed overview of all transactions associated with a specific investment.
You have all the information you need in one place, giving you a complete overview of your financial situation.

That's Integrated Investment Accounting in Banana.