Hello
I’m confused about buying and selling price. If I buy a of share Tesla at $359.00 then next day buy another share of Tesla at $391. Now is total 2 shares . But immediately I sold one share, now my question is which share will I have after selling one share because the price were different? Thank you.
For tax porpose? - You need to check how it works in your country. Some use Fifo(First in first out), some use average price…
If is for your tracking you can do as you prefer.
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As far as I know trading 212 uses average buy price
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Hi
When I buy a share of a company at a certain price and later when I buy another share of the same company, why is that my average price change on the trading212 platform? Isn’t that I’m missing some money from the first one? Shouldn’t it be showing individual price rate ? And later if I sell one which one they will remove ? How do they calculate this ? Thank you
This question has been asked before by others. It is completely normal to show shareholdings as an aggregate of all purchases and with an average share price. Every broker does it that way. For many investors, it is precisely this average price that they need to calculate capital gains tax liability when selling. If that is not the case in your tax juristiction then you may need to keep your own records so you can do a FIFO or LIFO computation. You can also keep your own records if you wish to track the gain/loss of some particular purchase.
If you buy 10 shares AAPL and then buy 20 shares AAPL a week later you now have 30 shares and they are indistinguishable (though the 20 might not be entitled to the next dividend if the ex-dividend date has occurred between the two purchases). It is the same as with the money in your bank account. There is no sense in which when you pay for groceries the cost is taken from last month’s salary vs your salary of two month’s ago.
Hi thank you for your response. I know I raised this before.