Entities and Attributes for Complex Financial Management Systems

Complex Financial Management Systems Features

Relationships Between These Entities

1. Investor: Represents peoples or organizations that invest in the company.

InvestorID (Primary Key): Unique identifier for each investor.
Name: Name of the investor.
Address: Address of the investor.
ContactNumber: Contact number of the investor.
Email: Email of the investor.

2. Investment: Represents various investment products offered by the company, such as stocks, bonds, mutual funds, etc.

InvestmentID (Primary Key): Unique identifier for each investment.
Type: Type of the investment.
Description: Description of the investment.
InitialInvestment: Initial amount invested in the investment product.
CurrentValue: Current value of the investment product.

3. Transaction: Represents financial transactions related to investments, expenses, and income.

TransactionID (Primary Key): Unique identifier for each transaction.
InvestorID (Foreign Key): Foreign key referencing investor table.
Type: Type of the transaction like income, expense, etc.
Amount: Amount of the transaction
Date: Date of the transaction
Description: Description of the transaction.

4. Portfolio: Represents a collection of investments held by an investor.

PortfolioID (Primary Key): Unique identifier for each portfolio.
InvestorID (Foreign Key): Foreign key referencing investor table.
Name: Name of the portfolio.
Description: Description of the portfolio.
TotalValue: Total value of the portfolio.

5. Expense: Represents various expenses incurred by the company, such as operational expenses, salaries, utilities, etc.

ExpenseID (Primary Key): Unique identifier for each expense.
Type: Type of the expense.
Amount: Amount of the expense.
Date: Date when the expense was incurred.
Description: Description of the expense.

6. Income: Represents various sources of income for the company, such as revenue from sales, dividends, interest, etc.

IncomeID (Primary Key): Unique identifier for each income.
Type: Type of the income.
Amount: Amount of the income.
Date: Date when the income was received or earned.
Description: Description of the income.

How to Design ER Diagrams for Complex Financial Management Systems

In today’s world, successful investment, expense, and income management is one of the most fundamental principles in the financial discipline both for individuals and for organizations as well.

An advanced financial management framework is a strong foundation that helps in achieving financial goals through its ability to control, analyze, and bring about improvements in financial activities. In this article, we will learn about How to Design ER Diagrams for Complex Financial Management Systems with the help of entities and attributes along with the relationships between them.