All-Time P/L is an essential metric for understanding the overall portfolio performance, and in this article we'll fully cover its calculation logic.
Note: the photo doesn't have anything to do with the example below; it just shows where to find the All-Time P/L for the portfolio
Firstly, let's introduce a scenario for your portfolio:
1. You bought ETH at $2,000
2. You sold ETH at $2,500
3. You bought ETH at $3,000
The current price of ETH is $2,750
4. You bought BTC at $30,000
5. You sold BTC at $40,000
6. You bought BTC at $45,000
The current price of BTC is $47,000
So you have 1 ETH worth $2750 and 1 BTC worth $47,000 in your portfolio.
Your All-Time P/L will be calculated by adding up the All-Time P'L figures for ETH and BTC.
The All-Time P/L for a coin is calculated as follows:
Current Worth of Current Holdings + Sell Transactions' Total Worth - Buy Transactions' Total Worth.
Thus, the All-Time P/L for ETH is:
$2,750 + $2,500 - ($3,000 + $2,000) = $5,250 - $5,000 = $250
The All-Time P/L for BTC is:
$47,000 + $40,000 - ($30,000 + $45,000) = $87,000 - $75,000 = $12,000
Thus, the All-Time P/L for the portfolio is $12,000 + $250 = $12,250.
Now, we need to clarify what the Percentage P/L will be.
The sum of your Buy Transaction Costs for ETH and BTC (i.e., all of your Buy transactions' total worth) will be:
$2,000 + $3,000 + $30,000 + $45,000 = $80,000
So this is the overall amount that you invested in buying coins, and the return on this amount is $12,250, so the All-Time P/L percentage will be
12,250/80,000 * 100 = 15.3 %
While at first, you might have guessed that the percentage should be related to your current portfolio value ($3,000 + $45,000 = $48,000), it is, in fact, not correlated to it at all. It depends on your purchase costs (total worth) for all your buy transactions and the All-Time P/L figures for the individual coins in your portfolio.
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