When trading perpetual futures, you can view your unrealized P&L and return on investment (ROI) in the Positions tab. After closing a position, your final P&L also depends on the execution price, trading fees, and funding fees. Understanding how these figures are calculated can help you verify your trading results.
Unrealized P&L
Once an order is filled, you can view your position and its unrealized P&L in the Positions tab below the trading chart. By default, unrealized P&L is calculated using the last price. If you switch to the mark price, the calculation will use the mark price instead.
When using the last price, the formulas are:
-
Long position: Unrealized P&L (Long) = (Last price − Average entry price) × Position size (coins)
-
Short position: Unrealized P&L (Short) = (Average entry price − Last price) × Position size (coins)
Example:
Trader A holds a 0.2 BTC long position in BTCUSDT with an average entry price of 80,500 USDT. If the last price is 81,000 USDT: Unrealized P&L = (81,000 − 80,500) × 0.2 = 100 USDT
The position therefore shows an unrealized profit of 100 USDT based on the last price.
Note:
1. Unrealized P&L does not include trading fees or funding fees paid or received while holding the position.
2. The last price and mark price may differ. Switching between them may change the displayed unrealized P&L.
3. Changing leverage does not directly affect unrealized P&L if your position size remains unchanged. Unrealized P&L is primarily determined by position size and price movements.
Return on investment (ROI)
ROI measures a position's unrealized P&L as a percentage of its initial margin. Like unrealized P&L, ROI is calculated using the last price by default. Switching to the mark price will change the price used in the calculation.
Formulas:
-
ROI = Unrealized P&L ÷ Initial margin × 100%
-
Initial margin = Average entry price × Position size ÷ Leverage
When using the last price, ROI can also be calculated directly for each position type:
-
Long position: ROI (Long) = (Last price − Average entry price) ÷ Average entry price × Leverage × 100%
-
Short position: ROI (Short) = (Average entry price − Last price) ÷ Average entry price × Leverage × 100%
Example:
Using Trader A's position from the previous example:
-
Position size: 0.2 BTC
-
Average entry price: 80,500 USDT
-
Leverage: 10x
-
Last price: 81,000 USDT
The calculations are as follows:
-
Unrealized P&L = (81,000 − 80,500) × 0.2 = 100 USDT
-
Initial margin = 80,500 × 0.2 ÷ 10 = 1,610 USDT
-
ROI = 100 ÷ 1,610 × 100% ≈ 6.21%
The position therefore shows an unrealized profit of 100 USDT and an ROI of approximately 6.21%. If you switch to the mark price, the displayed values may change due to differences between the last price and mark price.
Note: Changing leverage does not directly affect unrealized P&L if your position size and price remain unchanged. However, it may affect ROI because leverage changes the initial margin used in the calculation.
Position P&L
Position P&L reflects the profit or loss from closing a position, including the associated trading fees and funding fees.
Formula: Position P&L = P&L from price movement + Opening fee + Closing fee + Funding fee
In this formula, trading fees and funding fees paid are recorded as negative amounts, while funding fees received are recorded as positive amounts.
Example:
Trader C holds a 0.4 BTC short position in BTCUSDT with an average entry price of 82,000 USDT.
The trader closes 0.3 BTC at 81,000 USDT. Assuming the trading fees and funding fees associated with this partial close total 10 USDT in expenses:
-
P&L from price movement = (82,000 − 81,000) × 0.3 = 300 USDT
-
Position P&L = 300 + (−10) = 290 USDT
The partial close therefore results in a profit of 290 USDT, while the remaining 0.1 BTC short position stays open.
The fees used in this example are hypothetical. Refer to your transaction history for the actual amounts.
Why does my displayed P&L differ from my account balance?
The unrealized P&L shown in the Positions tab reflects the estimated profit or loss of an open position based on the selected price, with the last price used by default. It does not include trading or funding fees.
When you close a position, the final P&L is calculated using the actual execution price and applicable fees. As a result, the profit or loss you receive may differ from the unrealized P&L displayed before closing.
1. The displayed price may differ from the execution price
Unrealized P&L is calculated using the selected price in the Positions tab, while the P&L from closing a position depends on the actual execution price. During market fluctuations, these prices may differ, causing your final P&L to differ from the previously displayed unrealized P&L.
2. Trading and funding fees affect your final P&L
Trading fees may apply when opening and closing a position. You may also pay or receive funding fees if you hold a position through a funding settlement. Because unrealized P&L excludes these fees, it does not necessarily reflect your net profit or loss after closing a position.
Example:
You hold a 0.2 BTC long position in BTCUSDT with an average entry price of 80,500 USDT.
With the last price at 81,000 USDT, your unrealized P&L is (81,000 − 80,500) × 0.2 = 100 USDT
You then close the position at 80,980 USDT. Assume the following expenses:
-
Opening fee: 4 USDT
-
Closing fee: 4 USDT
-
Funding fee: 2 USDT
Your final P&L is calculated as follows:
-
P&L from price movement = (80,980 − 80,500) × 0.2 = 96 USDT
-
Net P&L = 96 − 4 − 4 − 2 = 86 USDT
Although the position previously showed an unrealized profit of 100 USDT, the actual net profit is 86 USDT after accounting for the execution price and fees.
The fees in this example are hypothetical. Refer to your transaction history for the actual amounts.
3. Other transactions may affect your account balance
Your account balance may also change due to other trades, funding settlements, deposits, or transfers made during the same period. Therefore, the overall change in your account balance may not match the P&L of a single position.
If you're checking your available balance, keep in mind that margin allocated when opening a position or released when closing it can also affect the displayed amount.
To verify your P&L, check the actual closing price and quantity, followed by the opening and closing fees and any funding fees. You can then review your account transaction history for other balance changes.
Risk warning
Perpetual futures trading involves substantial risk. Leverage amplifies the impact of price movements on your account balance, and positions may be liquidated during extreme market conditions. The examples in this article are for illustrative purposes only and do not represent actual returns. Your final P&L depends on factors such as execution prices, trading fees, and funding fees. Choose your leverage and position size according to your risk tolerance, and monitor your positions regularly.
