We recently started portfolios four and five with the round of late summer investing. The process went per usual:
– each of the beneficiaries saved up $500
– we matched $1000 each
– we provided a list of 6 stocks to pick from
– each beneficiary picked 2 stocks from the list
– we purchased the stocks
Since it was a first time setup there were some additional steps in establishing the portfolio. I had to do some work to get the forms set up under my custodian umbrella with my brokerage firm. The firm waived some limits they had on the size of the account (usually they don’t set up brokerage accounts with only $1500) because it was part of my overall effort and because we will cross the $3000 barrier next year, anyways. The firm also was generous and waived some commissions for portfolios 4 and 5 since I had some free commissions left with my account (they originally charged for the commissions and then put the cash back in the money market account. I guess if I am super technical they are part of the basis but I will assume that they aren’t since it was returned).
I am not going to set up excel spreadsheets yet for them until we get another years’ worth of activity but am tracking them through that excellent google service that I mentioned in other posts.