PnL (profit and loss)
PnL (profit and loss) is the financial result of a position or portfolio, split into realised PnL on closed positions and unrealised PnL on open ones.
PnL (profit and loss) quantifies what a position or portfolio has gained or lost. It has two components. Realised PnL is locked in: the result of closed positions, definitively booked to the account. Unrealised PnL is virtual: the paper gain or loss on positions still open, valued at the current market price : it fluctuates with every tick and can evaporate as long as the position is not closed.
Why the distinction matters
Confusing unrealised with realised is a classic mistake: a portfolio can show a flattering overall PnL carried by a single open position whose gain exists only on screen. Tracking both separately helps evaluate a strategy honestly: realised PnL measures what it has actually produced, unrealised PnL measures the risk currently on board. In Screener.Trading's paper trading, every simulated account displays the realised and unrealised PnL of its positions, computed continuously from market prices : the same mechanics as at a broker, with no capital at stake.
- Realised PnL: (exit price − entry price) × quantity, on closed positions.
- Unrealised PnL: (current price − entry price) × quantity, on open positions.
Keep exploring
- FeaturePaper trading: learn in real conditions, without the riskPlace orders, manage positions and track your P&L on fully virtual accounts : real trading practice with zero real money at stake.
- FeatureThe backtesting tool built into your screenersBacktests built from your screeners: entries, exits, fees and full metrics to judge a strategy on numbers instead of gut feeling.
- GlossaryEquity curveThe equity curve plots the evolution of a strategy's capital trade after trade, and its shape often says more than any aggregate metric.
- GlossaryPosition sizingPosition sizing is the share of capital committed to a trade, calibrated so that the loss if the stop is hit remains a controlled fraction of the account.
- GlossaryTake profitA take profit is an automatic profit-taking exit level, set before entering a position, which locks in the gain when price reaches the intended target.
- GuideThe complete beginner's guide to tradingEverything you need to understand before placing your first order: reading a chart, choosing your style, using the right indicators, managing risk, and practicing without risking a cent.