Mark to Market

Trading profit and loss is realised on your account balance on a daily basis. We will mark your position to the market price at the end of each day (2200 London Time) and calculate the profit and loss for each of the positions you hold. This process is known as 'Mark-to-market'.

We will then rollover your position to the following day, opening you a new position at the rollover level (see rollovers). In the example below, the position in USDCHF of USD 1,600,000 rolled into the day at a level of 1.24498.
There were no trades done on this day in USDCHF, so the position of 1,600,000 remained at the end of the trading day. The price at the end of the day was 1.2469

The trading P/L on the day for USDCHF is the difference between the total position value brought forward and the total position value after Mark To Market.

In this case the P/L is (1,600,000 x 1.24498) (1,600,000 x 1.2469)
= CHF 1,991,968 CHF 1,995,040
= CHF 3,072
= USD 2463.71 (@ 1.2469)

This is then revalued back into USD at the mark to market rate of 1.2469 and split (for information only purposes) into trading P/L and rollover P/L. (2438.91 + 25.70 = 2463.71)

The Ledger Activity section of the statement shows the Total Mark To Market for each currency.
The example above shows Mark To Market profit USD 2,463.71.