4.11 Calculating Realized Profit and Loss

Realized PnL is calculated during the booking of a trade as well as during cancellation of a trade. During trade amendment, if there are any changes in the position or price, then also realized PnL is calculated.

The costing method to be used for calculating PnL is derived from the portfolio for which the deal has been booked. The costing methods used can be any of the following:
  • WAC (Weighted Average Cost)
  • FIFO (First in First Out)
  • LIFO (Last in First Out)
Realized P&L could result out of either a sale of CUSIP under the same position, or a buy of CUSIP under the same position, if the position is short.
This topic cotains following sub-topic:

Parent topic: Processing an SLT Contract