How Are Profit and Loss Calculated on Leveraged US Stocks at Pluang?

Profit and loss on a leveraged position are calculated on the full exposure of the shares you bought, then compared against the margin you actually put up. That comparison is what makes leverage magnify your percentage return. Take an example: you buy 2 shares of a stock at $100 each with 2x leverage, so the position is worth $200 but your margin is only $100. If the price rises to $120, the position becomes worth $240 — an unrealised gain of $40, which is 40% of your $100 margin even though the stock itself only moved 20%. The same arithmetic works in reverse: if the price falls to $80, the position is worth $160 and you carry a $40 unrealised loss, again 40% of your margin.

• The principle: P&L is calculated on the full exposure of the shares, then measured against the margin you committed.
• Worked example — entry: 2 shares at $100 each with 2x leverage: position value $200, margin $100.
• If the price rises to $120: Position value $240, unrealised gain $40 — a 40% return on your $100 margin.
• If the price falls to $80: Position value $160, unrealised loss $40 — a 40% loss on your $100 margin.
• The magnification: A 20% move in the stock becomes a 40% move against your margin at 2x, and 80% at 4x.
• Costs are separate: Transaction fees and, for 2x held overnight, the Daily Leverage Fee reduce the figure you actually keep.
• Unrealised vs realised: These figures stay unrealised until you close the position, at which point they move into your Balance.

Related questions:

Q: Why is my percentage return larger than the stock's price move?
Because the gain is measured against your margin, not against the full position value. At 2x you control $200 of stock with $100 of margin, so a 20% rise producing $40 of profit is a 40% return on what you actually committed. The stock did one thing; your capital experienced double it. At 4x the multiplier doubles again. This is why leveraged returns should always be read against margin rather than against position value.

Q: Does the same multiplier apply to losses?
Yes, symmetrically, and this is the central risk of leverage. In the example, a fall from $100 to $80 is a 20% decline in the stock but a $40 loss against $100 of margin — 40% of your capital gone. Larger adverse moves erode Equity quickly, which pushes Margin Level down and can trigger a margin call or forced liquidation.

Q: Are fees included in these numbers?
No. The example figures show the raw position arithmetic. Your actual outcome is reduced by the standard transaction fee of 0.2% for Pluang Plus or 0.3% for Regular users, charged on both the buy and the sell. If it is a 2x position held past the market close, the Daily Leverage Fee also accrues for every calendar day you hold it.

Q: When does an unrealised gain become real money?
When you close the position. Until then the figure is unrealised: it raises or lowers your Equity and therefore your Margin Level, but it does not change your Balance. Closing the position realises the profit or loss, which is then reflected in Balance and becomes part of what Withdrawable Cash is calculated from. Until that moment, a gain on screen is still exposed to further price movement.