For example, if an investor buys a stock of 1 1,000 yuan on Monday, and the share price rises by 2% that day, then the profit and loss of that day is 20 yuan, and the profit and loss of the position is also 20 yuan. When the stock rises 1% again on Tuesday, the profit and loss on Tuesday will be 10 yuan, and the profit and loss of positions will become 20+ 10 = 30 yuan, even if it falls.
As long as the stock is not completely sold, the profit and loss of the position is the cumulative sum of the profit and loss on the day of holding. If you sell all and buy again, then the profit and loss of the position should be calculated from scratch.
Position profit and loss, as opposed to position profit and loss. Also known as book profit and loss or floating profit and loss. Based on the settlement price of the day, the difference between the position value of the contract held by the trader at the closing of the transaction and the original position value. Position gain and loss is an unrealized gain and loss, which is usually not recognized as investment income according to the income of accounting subjects in realization principle.
However, due to the high risk of futures investment, it is necessary to disclose it in order to provide decision-making information to users of financial statements. Therefore, it can be reflected in the futures investment income account, and it can also be reflected by setting the position gain and loss of the secondary subject under futures, which is different from the realized futures investment gain and loss.
computing formula
Position profit and loss
Position profit and loss = historical position profit and loss+opening profit and loss of the day.
Historical position profit and loss
Historical position profit and loss = ∑ [(settlement price of the current day-settlement price of the previous day) * buying position]+∑ [(settlement price of the previous trading day-settlement price of the current day) * selling position]
The front is buying and opening positions, and the settlement price of the day is equivalent to the selling price; Followed by selling and opening positions, the settlement price of the day is equivalent to the purchase price.
Profit and loss of opening position on the same day
Opening profit and loss of the day = ∑ [(selling opening price-settlement price of the day) * selling opening quantity]+∑ [(settlement price of the day-buying opening price) * buying opening quantity]
accounting treatment
In the Interim Provisions of the Ministry of Finance [1997] No.44 on Financial Management of Commodity Futures Trading, it is clearly pointed out: "Floating profit and loss, also known as position profit and loss, refers to the potential profit and loss calculated according to the initial transaction price of the contract and the settlement price on the settlement date.
"Floating profit and loss has the following provisions:
Exchange "floating profit and loss of members is not calculated as the margin required for opening new positions"; The futures brokerage institution shall adjust the amount of the customer's margin deposit account on a daily basis according to the floating profit and loss of the customer.
The floating profit of customers shall not be calculated as the margin required for opening new positions ";
Futures investment enterprises "should adjust the amount of margin account according to the floating profit and loss list and capital settlement sheet of futures contracts bought or sold without reverse trading issued by futures brokerage institutions or futures exchanges, and set up a special account for the loss and surplus of the property to be processed accordingly, which should not be included in the current profit and loss, but should be explained in the annual financial report", and "floating losses cannot be included in the current profit and loss in advance".