Documentation / P&L Tracking

P&L Tracking

Track your profits and losses across all trades

Understanding P&L Types

The system tracks several types of P&L:

  • Unrealized P&L: Current profit/loss on open positions based on live or historical market prices
  • Gross Realized P&L: Profit/loss from closed positions before commissions
  • Total Commissions: Sum of all fees paid on executions
  • Net Realized P&L: Gross Realized P&L after commissions (closed P&L net of fees)
  • Total P&L: Net Realized P&L + Unrealized P&L (the complete picture)

Zero-Bid Options & Unrealized P&L

When an option's bid is zero, the platform uses a three-way rule to determine its value for unrealized P&L:

  • Bid > $0 — value is the midpoint of bid and ask
  • Bid = $0 and a BSM theoretical price is available — value is the theoretical (BSM) price
  • Bid = $0 and no theoretical price — shown as "—" (data unavailable), not $0

The third case typically occurs for deep out-of-the-money options whose implied volatility cannot be solved. Showing "—" rather than $0 prevents the trade's unrealized P&L from being silently understated.

Unrealized P&L always shows "—" when the data provider itself is unreachable (no provider configured, network error, or the underlying stock price is missing).

Cost Basis Calculation

Cost basis is calculated based on your entry prices and quantities:

  • Long positions: Cost basis = Price paid (debit)
  • Short positions: Cost basis = Premium received (credit)
  • Spreads: Net debit or credit for the entire position

Note: Options are quoted per share, but contracts represent 100 shares. A $2.50 option costs $250 per contract.

For adjustments and partial closes, the cost basis is dynamically recalculated as each new execution is added to the trade.

Commission Tracking

Commission handling depends on the trade source:

  • Model trades: Use your default commission rates from Settings
  • Imported trades: Use the actual commission values from the import file
  • Broker orders: Use the actual commission reported by the broker

Configure your default rates in Settings under Trading Preferences.

Sign convention: Commissions are displayed as negative values to reflect their cost impact on P&L. For example, -$1.30 means $1.30 was paid in fees. This ensures commissions reduce your net P&L correctly when totals are computed.