Is transaction cost included in Fvoci?

Okay, so, FVOCI… does it include transaction costs? That’s a good question! Honestly, the way I understand it is like this: yeah, transaction costs are included.

Think of it like buying a house, right? You don’t just pay the sticker price. There’s also the realtor fees, the lawyer, maybe even a little something for the previous owner to leave behind their favorite plant… Okay, maybe not the plant. But you get the idea! All those extra expenses get tacked onto the initial cost.

With FVOCI, I see it as basically doing the same thing. Those transaction costs get added right onto the price I initially paid for the investment. So, in a way, it feels like the price gets a little inflated at the beginning, doesn’t it? But then, whatever the fair value turns out to be at the end of the year… that’s what I’m stuck with.

It’s a fair value world, and I’m just living in it, hoping for the best! You know? Sometimes I wonder if I should have just stuck with simpler investments, but hey, where’s the fun in that? Plus, I’m learning a lot, even if it’s sometimes a bit confusing.