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BETA

What is realized gain and unrealized gain in the Portfolio in the Pluang application?

Realized gain is a profit that has been realized, namely the positive difference between the average purchase price and the selling price of an asset that has been sold.

Example: You buy 1 unit of WMT stock at an average price of $90, then sell it at a price of $100.

Realized gain = $100 - $90 = $10

When you have sold the shares, that $10 is the profit you get.

Meanwhile, Unrealized gain is an unrealized profit, which is the positive difference between the average purchase price and the current market price (using the middle price) while you still hold the asset.

Example: You bought 1 unit of WMT stock for $90, and the market price is now $100, but you haven't sold it yet.

Unrealized gain = $100 - $90 = $10

The $10 is the estimated nominal profit you will make if you sell your asset right away, but if you still hold on to the asset, the profit is also uncertain and can change depending on market conditions.