NAV:Net Asset Value. The total value of an asset less liabilities. In the case of a trading account, the NAV is the balance of deposits, realised and unrealised profit/loss, and interest, minus withdrawals. Negative Carry Pairs:A carry trade where you are long the lower interest currency ...
especially the notion of reclassification and when or which OCI items should be reclassified. A common misunderstanding is that the distinction is based upon realised versus unrealised gains. This lack of a
The commonly suggested attributes for differentiation between profit or loss and OCI (realised/unrealised, frequency of occurrence, operating/non-operating, measurement certainty/uncertainty, realisation in the short/long-term or outside management control) are difficult to distil into a set of principles...
It is a myth, and simply incorrect, to state that only realised gains are included in profit or loss (P/L) and that only unrealised gains and losses are included in the OCI. For example, gains on the revaluation of land and buildings accounted for in accordance with IAS 16, Property Pl...