Jump to content

Treatment of book cost after partial sale


Recommended Posts

I bought Bovis back in Feb 16 at 878 and topped up after the July 16 crash at 768, making the average price 833. Recently I took some profit by selling half my holding at 1195. IG says the current book cost is based on the average share price of 833, whereas others take the view that the sale was of the oldest shares and therefore the current book cost is based on, mostly, the later price, giving a book cost nearly £200 lower and consequently a higher profit. Which is the correct treatment?

Link to comment

Hi , when trading on a share dealing or an ISA account, if increasing the exposure for the same stock, the new position would be aggregated to the existing position. The new price would be a weighted average price of the total share prices for display. In terms of the profit you made, there won't be any difference, and therefore this simply comes down to a display decision. Let us know which view you prefer - we periodically collate feedback from clients and I'll make sure this gets passed back to our managers and dev team.

Link to comment

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
×
×
  • Create New...