# Discrepancy in PnL Calculation

## Recommended Posts

Hi,

I have encountered a discrepancy between my theoretical PnL calculation and the PnL reported in my trade history. I would appreciate some assistance in understanding the difference.

Here are the details of the trade:

• Currency Pair: USD/MXN
• Number of Contracts: 10
• Contract Size: 100,000 USD
• Opening Price: 17.79107
• Closing Price: 17.97692
• Reported PnL: \$10,283.10
• Conversion Rate Used: 0.0553301262247 USD/MXN

Theoretical PnL Calculation:

1. Change in Price: 17.97692 - 17.79107 = 0.18585 MXN/USD
2. PnL per Contract: 0.18585 * 100,000 = 18,585 MXN
3. Total PnL in MXN: 18,585 * 10 = 185,850 MXN
4. Converted PnL in USD: 185,850 / 17.97692 ≈ \$10,338.2

Considering the theoretical PnL is approximately \$10,338, I am trying to understand why the reported PnL is \$10,283.10.

I noticed that when I multiply the PnL in MXN by the conversion rate used, I find the reported PnL, . but I do not understand where this value comes from.

Could you please help me clarify how the conversion rate of 0.0553301262247 USD/MXN was determined and why it differs from the typical market rates around the time of the trade?

Thank you very much!

• 1
18 hours ago, Flowdesk said:

Hi,

I have encountered a discrepancy between my theoretical PnL calculation and the PnL reported in my trade history. I would appreciate some assistance in understanding the difference.

Here are the details of the trade:

• Currency Pair: USD/MXN
• Number of Contracts: 10
• Contract Size: 100,000 USD
• Opening Price: 17.79107
• Closing Price: 17.97692
• Reported PnL: \$10,283.10
• Conversion Rate Used: 0.0553301262247 USD/MXN

Theoretical PnL Calculation:

1. Change in Price: 17.97692 - 17.79107 = 0.18585 MXN/USD
2. PnL per Contract: 0.18585 * 100,000 = 18,585 MXN
3. Total PnL in MXN: 18,585 * 10 = 185,850 MXN
4. Converted PnL in USD: 185,850 / 17.97692 ≈ \$10,338.2

Considering the theoretical PnL is approximately \$10,338, I am trying to understand why the reported PnL is \$10,283.10.

I noticed that when I multiply the PnL in MXN by the conversion rate used, I find the reported PnL, . but I do not understand where this value comes from.

Could you please help me clarify how the conversion rate of 0.0553301262247 USD/MXN was determined and why it differs from the typical market rates around the time of the trade?

Thank you very much!

Dear @Flowdesk,

Our conversion rate is 0.5%, added to the best available exchange rate from several banks at the time of trade.

Thanks,

KoketsoIG

Please rate us on Trustpilot: IG Trustpilot

## Create an account

Register a new account