How is portfolio value and portfolio daily P/L calculated?
Here’s a summary of the main problem and solutions discussed:
- Main Problem: The user, Dew, is experiencing a negative daily P/L despite an increase in their portfolio’s value, which they suspect is due to low liquidity in the securities they hold.
- Solution Discussed: Fidelity representative explained that “Today’s Gain/Loss” numbers reflect deposits, withdrawals, and gains or losses in positions, and suggested checking the footnotes on the Summary page for more information.
- Additional Assistance: Fidelity offered to take a closer look at Dew’s account and encouraged them to reach out via direct message for further follow-up.
- Clarification on Market Price: Fidelity clarified that market price refers to the changing prices of the securities throughout the market day and explained how gains or losses are calculated based on these price fluctuations.
Here’s the full thread
For the past few days, my portfolio has shown a negative daily P/L. I suspect this is due to low liquidity in the securities I’m holding. I only have 3 securities, and each day the theoretical value of each of them has increased.
Each day, I’m seeing a negative daily P/L, but my portfolio’s value has increased significantly. I was curious if I could get some insight into how fidelity
calculates your daily P/L and portfolio value.
Hi @Dew,
The “Today’s Gain/Loss” numbers on your Summary page reflect any deposits or withdrawals, as well as any gains or losses in your positions.
You can also learn more about the Balance Information in the footnotes of the Summary page by scrolling down to the bottom on the page and expanding the “Additional important information” section.
With that said, it sounds like it may be showing like this for you often, so we’d be happy to take a closer look at your account. Feel free to send us a DM or Private Message on one of our other social platforms and we can follow up with you there.
Sounds good, thank you!
Would you be able to expand on what is meant by “market price”:
> Brokerage account balances are updated throughout each business day and display values that change with market price fluctuations on the underlying securities in your account.
Is it just the bid of my long securities?
And how are the gains or losses in my positions calculated?
Of course!
Market price is referring to the price of the securities in your account throughout the market day. For example if you hold stocks in your account, their prices change throughout the day. As the market price of your stock/security changes, the increase or decrease will be reflected in your account balance.
Let’s say you own 3 positions: and each of them gain $5 today. If no other actions take place on your account, then at the end of the day your “Today’s Gain/Loss” should show “+$15.00.”