$begingroup$ In Preset Money, I know that bonds PnL are evaluated based on wherever the worth lies on price/generate curve at the conclusion of the day, in comparison with in which it began from at starting in the day.$begingroup$ The pnl calculation is done in 2 steps. By definition, you worth your portfolio as of currently, you price your portfol

$ Now you say $V_t$ would be the risky asset. Extremely perplexing. Edit the submit to help make this crystal obvious. We can easily take into consideration precisely what is a PnL the moment we know what We've invested in. $endgroup$Stack Trade network includes 183 Q&A communities including Stack Overflow, the most important, most trusted on the w