I have a large annual contribution going into an investment account that has a low balance today. When I look at the ending balances of each investment in the account, the contribution does not appear to be going into that investment account. Where is it going?
The annual contribution is going into the correct account. But in this case, the 'Rebalance Investments Annually' toggle is set to 'Yes.' Because of this, investment accounts are rebalanced at the beginning of each period based on their percentage of the overall investment portfolio as it stands today. So an investment account with a small balance to start with will continue to have a small balance each period even if it is taking in large contributions, because it is rebalanced each year back to its original percent allocation.