Freetrade sales system

If you sell one of them, then there will be no more average price.

Why does it matter? If you sell either at a different price to what you paid you will have realised a loss/gain in your cash position.

For example share 1 costs £1, share 2 costs £100, zero cash. Average value = 101/2 = 51.50

You sell a share for £50 then you will have 1 share with a nominal value of £50 and £50 cash ie an average value of £50/share and you have a total loss/gain = -£1

ie your £1 share if you kept it is now +49 but your £100 share if sold is -£50 and vice versa if you sell the £1 share then it realises £49 profit but your £100 share is now only worth £50 ie -£50 so net loss/gain is the same at -£1).

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I think you are right. Thank you for sharing your opinion :+1:

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As everyone has mentioned above. It’s the average price paid that decides if you are selling at a gain or loss, not the price paid for any given share.

Unfortunately FT doesn’t calculate things in this way. They do in fact sell the shares in the order that you bought them, oldest first. So when they calculate the new average price paid for what ever you have left, it is no longer accurate.

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