Commodities and Investments with Ledger
In previous post I introduced you to Ledger by showing you its basic functionality, how movements are tracked, and how to query it to extract useful information. I also mentioned how the potential of this software was much wider. Today it’s time to show you how to use it to track your investments. What is a commodity From an economic/financial point of view, the term commodity indicates a good whose value does not vary according to its source. So the euro can be seen as a commodity because a euro is always worth the same regardless of who we receive it from. The same applies to a gold bar or a barrel of oil. Apples, on the other hand, are not really commodities because their source also influences the quality of the product. In Ledger, commodities are defined in a broader way and can be seen as the unit of measure of transactions. In the first post I told you that within a Ledger journal money movements between accounts are tracked, but actually the concept can be generalized as it is possible to use transactions to move things from one account to another. ...