What is the difference between balance and equity in MT4/MT5? How are they calculated?
In MT4/MT5, balance shows the funds in your trading account after completed transactions, while Equity shows the current value of your account, including the unrealized profit or loss from open trades.
You can view both figures in MT4 to monitor your account balance and current trading position.
What is the difference between Balance and Equity?
Balance: Balance represents the amount remaining in your trading account after deposits, withdrawals, and completed trading transactions have been accounted for. It does not include the unrealized profit or loss from open trades.
Equity: Equity represents the real-time value of your trading account. It includes your Balance, any applicable credit, and the unrealized profit or loss from open trades.
How are Balance and Equity calculated?
The calculations are as follows:
Balance = Funds remaining after deposits, withdrawals, and completed trading transactions.
Equity = Balance + Unrealized PNL
For example, if your account has:
Balance: USD 1,000
Credit: USD 0
Floating Profit: USD 100
Your Equity will be USD 1,100.
If your open trades instead have a floating loss of USD 100, your Equity will be USD 900.
Need More Help?
If you have questions about your Balance or Equity figures in MT4, please contact our Customer Support for further assistance.
