Saxo Bank Updates Account Value Definition for Transparency

Saxo Bank updates account value definition to improve transparency and accuracy for cash and margin clients.

Key Points:

• ‘Cost to close’ removed from account overview for cash-equity clients, leading to higher account value.
• Margin clients will see ‘Cost to close’ integrated into collateral categories, with no change in cash available.

Effective mid-June, Saxo Bank will implement changes to its account value definition, aiming to improve transparency and consistency across all platforms. The updates aim to provide clients with a clearer and more accurate overview of their investments by aligning labels and patterns for a streamlined user experience.

Saxo Bank has announced that, starting in mid-June, it will introduce a revised definition for account value. This change enhances the clarity of account details for all clients, removes ambiguity, and aligns the presentation of account data across its various platforms.

Saxo Bank Updates Account Value Definition for Transparency

For clients holding cash-equity positions (i.e., those with no margin positions), one of the main updates will be the removal of the ‘Cost to close’ item from the account details overview. This change will result in a higher ‘Account value’ compared to the current setup. Previously, the platform included the ‘Cost to close’ in the account’s total value, causing discrepancies between the account overview and the portfolio report. With the new update, the account value will now match the portfolio report, providing a more consistent and accurate reflection of the account’s worth.

Importantly, clients with cash-equity positions need not worry about the practical implications of this change on their available funds. The ‘Cash available’ amount, which reflects the amount available for withdrawal or to open new positions, remains unchanged, as it already takes into account the future cost to close any positions.

While the cost to close will no longer appear in the main account overview, it will still be visible in the individual position overview or within the close-trade window, ensuring clients still have access to this critical information when needed.

Changes for Margin-Enabled Clients

For clients with margin positions, Saxo Bank will remove the ‘Cost to close’ from the account details overview. However, instead of disappearing entirely, the bank will incorporate this cost into the ‘Not available as initial/maintenance collateral’ category. As a result, clients will see a higher ‘Account value’ but will notice no change in the ‘Cash available’ figure.

This update is particularly important for margin-enabled clients, as it ensures a more accurate reflection of the funds available for trading, while still maintaining visibility of the collateral requirements necessary for margin positions.

Saxo Bank’s new approach aligns with its ongoing commitment to providing clients with clearer, more accurate account information. By removing the ‘Cost to close’ from the overview and aligning it with collateral categories for margin clients, the bank aims to streamline the experience and reduce confusion across its platforms.

These changes, which come into effect in mid-June, are part of Saxo Bank’s wider efforts to improve transparency and consistency in its platform’s reporting and account management tools.

Also, for more information or to inquire about how these changes might impact your account, Saxo Bank clients can visit the official website or contact customer support.

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