Issue

How do I record Realised Capital Gain/Loss for Exchange Traded Options (ETO)?

Resolution

At year-end the options trading account might have a realised capital gain or loss to account for. This can be entered into the Custom Holding Account and then matched off to a Realised Accounting Gain/Loss Business event.

Step 1: Enter Gain or Loss in Custom Holding Account (to adjust the total balance of the Option Account)

Navigate to Fund level > Transactions > Browse Bank Statements

1. Select the Options or CFD account
2. Enter the capital gain or loss by selecting the + Add
3. Enter the Date, Description and amount
4. Select Save Transactions.

For gains enter the amount in Cash In and for losses enter the amount in Cash Out field.

Step 2: Take up Realised Gain or Loss for the year

Navigate to Fund level > Transactions > Fund Income > Realised Accounting Gain/Loss

1. Select the Custom Holding Account setup for Option
2. Enter 30 June xxxx as the Effective Date
3. Enter the actual cash received or paid in the Gain/Loss Amount field
4. Enter Capital Gain and Capital Loss into relevant Fields
5. Select the relevant CGT Classification
   
   
6. Click on Submit

Enter a positive figure into the Capital Loss field, as this field is designed to be treated as a capital loss.

Step 3: Match the Cash Transaction to the Business event