Investment Analytics offers our Standard Reports Package of 11 reports as the basic tool-set to establishing what transpired in an investment account, or simply put, a set of profit and loss (P/L) reports that breaks down the underlying investments and how they were treated. This is the analysis that most attorneys start with to establish facts of suitability, over concentration, churning, excessive commissions, individual security performance, and cash activity for their case. Once an attorney understands how securities or cash were handled, they have the ability to use Supplemental Reports to reinforce their positions.
Supplemental Reports
Many clients who are new to the securities industry will ask, “why not just perform a simple Net Out of Pocket Report (NOP)? The answer is simple: NOPs only give visibility to what happened externally to an account, such as withdrawls and contributuons. NOPs do not provide any insight to the data that is probably key to a case, such as the types of underlying investments, their performance, were the investments concentrated, and what was the cost to make these underlying investments to the investor.
This report provides the total profit or loss for the account. The schedule is reconciled by analyzing both the account’s cash flow and the profitability of securities in the account.
This schedule illustrates deposits and withdrawals of cash and securities into the account and the monthly equity values. It also calculates each month’s profit or loss.
This schedule provides the profit or loss for every security held in the account. Securities are sorted by asset class, which allows for quick identification of profit or loss for every asset class held.
This schedule is organized by security. It contains every transaction for every security in the account and the total profit or loss for every security.
This schedule illustrates the profit or loss aggregated by sector for every security held in the account. It provides a quick summary of those sectors that provided profit and those that generated losses.
This schedule lists by sector the profit or loss for each security. It allows identification of those securities that generated the bulk of a sector’s profit or loss.
This schedule contains the monthly purchases and sales for the account and includes a reconciliation to include securities received, delivered, held long and exchanged.
This schedule lists all purchases and sales, organized by date. Each month’s purchases and sales are totaled.
The turnover schedule calculates the turnover of the account’s equity, based on the amount of purchases in the account. It provides an excellent method of determining if the account had excessive trading.
This schedule calculates the expense ratio of owning the account. It allows a comparison of account expenses against alternative investments.
This schedule illustrates the movement of cash in the account on a monthly basis. It shows the monthly cash balance and how cash has been generated and removed from the account.
| If you are new to securities litigation, or just need a refresher in understanding P/L reports, we are happy to provide you a one-on-one to help you learn |
