What is calculation rule for closing profit after settlement?
The settlement period for all varieties of Perpetual Swap is 8 hours, and settlements are made three times a day, which are 00:00, 08:00, and 16:00 (GMT + 8), position price will change to settlement price. The unrealized P/L thereafter will be calculated based on the latest price and settlement price. Users can go to Transaction Records for “unrealized P/L after settlement” for a given contract.
Please note that Position P/L = P/L after Settlement + Unrealized P/L after Settlement.
A. Reflecting user’s real position cost, Open Price is the average cost price of positions and will not be affected by settlement. P/L and P/L Ratio is calculated using Open Price as position cost.
B. Position Price is used to calculate user’s Unrealized P/L and Closed P/L. At the beginning of position opening, Position Price equals to Open Price. After settlement, the settlement price becomes the average Position Price to calculate P/L in the next week. Changes in the average Position Price will not affect users' actual P/L.
1．A user opened long 1000 conts BTC Swap contract at 10:00 on 2020/10/23 (GMT+8). His Open Price and Position Price were both 6000 USD; At 15:30 on 2020/10/23 (GMT+8), the latest price of BTC Swap contract is 6150 USD, then the P/L and Unrealized P/L of his open interests are listed below：
Long Position Unrealized P/L
=（1/Position Price - 1/Latest Price）* Number of Long Contracts * Contract Face Value
=（1/6000 － 1/6150）* 1000 * 100
= 0.4065 BTC
Because the position has not been settled, the P/L is the same as the Unrealized P/L, which are both 0.4065 BTC.
2．Assuming that the settlement price is 6200 USD when the settlement is made at 16:00 (GMT + 8) on the day, the system settles the UP / L according to the settlement price of 6200 USD. After settlement, the open price is still 6000 USD, and the position price becomes the settlement price of 6200 USD. At 17:00 (GMT + 8) soon, the latest price of BTC swaps contract is 6180 USD, then the P / L and UP / L of the held position are as follows:
Settled Long Position Unrealized P/L
= (1/Position Price – 1/Latest Price) * Number of Long Contracts * Contract Face Value
=（1/6000 - 1/6200）* 1000 * 100
= 0.5376 BTC
After the settlement：
Long Position Unrealized P/L
=(1/Position Price – 1/Latest Price) * Number of Long Contracts * Contract Face Value
=（1/6200 - 1/6180）* 1000 * 100
= - 0.0521 BTC
=P/L after Settlement + Unrealized P/L after Settlement
= 0.5376 - 0.0521
≈ 0.4854 BTC
Users can check details in Transaction Records on Website:：
Check details in Transactions on HTX APP:
If the user closes all positions at this time, and the average transaction price is 6180 USD, then the Position P/L = Unrealized P/L after Settlement+ P/L after Settlement.
Therefore, after settlement, if the displayed P/L is positive but it changes negative after position closing, it is because the Position P/L is P/L after settlement and the realized P/L of the latest settlement. The actual P/L in the example is positive.
(The above content is for example purposes only, please refer to specific P/L and unrealized P/L on the page).