# Average price - am I missing something?

**URL:** <https://community.trading212.com/t/average-price-am-i-missing-something/38386>\
**Category:** 🤝 Help\
**Created:** [January 19, 2021, 9:06pm UTC](https://community.trading212.com/t/average-price-am-i-missing-something/38386 "2021-01-19T21:06:05Z")\
**Posts on this page:** 4\
**Page:** 1

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**Author:** ![j05hua993t](https://avatars.discourse-cdn.com/v4/letter/j/9e8a1a/32.png) [@j05hua993t](https://community.trading212.com/u/j05hua993t)\
**Post date:** [January 19, 2021, 9:06pm UTC](https://community.trading212.com/t/average-price-am-i-missing-something/38386/1 "2021-01-19T21:06:05Z")

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Hi,

How is the average price calculated on T212? I don’t work it out to be the average weighting’s of my live positions.

Example filled:  
Buy 3.2 shares @ $5.89  
Buy 0.95 shares @ $58.27  
Sell 0.95 shares @ $58.48  
Buy 1 shares @ $57.99

So I hold 4.2 live shares, I would expect with an average price of $18.28

Yet my investment tab shows an average price of $27.43? Where is this calculated from? Surely that’s not therefore an accurate reflection of my open position, so would also give an incorrect reflection on return?

Thanks

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**Author:** ![Alien](https://avatars.discourse-cdn.com/v4/letter/a/57b2e6/32.png) [@Alien](https://community.trading212.com/u/Alien)\
**Post date:** [January 20, 2021, 7:36am UTC](https://community.trading212.com/t/average-price-am-i-missing-something/38386/3 "2021-01-20T07:36:39Z")

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3.2 X 5.89 = 18.848  
0.95 X 58.27 = 55.35  
18.848 + 55.35 = 74.198  
74.198 / 4.15 = 17.88  
17.88 X 3.2 = 57.21  
57.21 + 57.99 = 115.20  
115.20 / 4.2 = 27.43 (rounded to 2 points)

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**Author:** ![Rumen](https://dub1.discourse-cdn.com/flex013/user_avatar/community.trading212.com/rumen/32/10195_2.png) [@Rumen](https://community.trading212.com/u/Rumen)\
**Post date:** [January 20, 2021, 12:03pm UTC](https://community.trading212.com/t/average-price-am-i-missing-something/38386/4 "2021-01-20T12:03:37Z")

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The average price is calculated according to the formula:

((quantity 1 \* price 1) + (quantity 2 \* price 2) + … (quantity N \* price N)) / Quantity N

In the example of @j05hua993t you have to take into account the sale as well.

- ((3.2 \* $5.89) + (0.95 \* $58.27)) / 4.15 = $17.88 average price; After the sale of 0.95 units, you will have 3.2 units with an average price of $17.88 (the sell orders do not affect the average price)

_((3.2 \* $17_88) + (1 \* $57.99)) / 4.2 = $27.43

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**Author:** ![j05hua993t](https://avatars.discourse-cdn.com/v4/letter/j/9e8a1a/32.png) [@j05hua993t](https://community.trading212.com/u/j05hua993t)\
**Post date:** [January 20, 2021, 6:01pm UTC](https://community.trading212.com/t/average-price-am-i-missing-something/38386/5 "2021-01-20T18:01:55Z")

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Makes sense, thanks all