Realized Gain
What is a Realized Gain?
Realized gains are increases in the value of an asset that has been sold. This concept is the opposite of paper profit -- a paper profit only turns into a realized gain when you actually sell the security.
How Does a Realized Gain Work?
Let's assume you own 100 shares of Company XYZ that you purchased for $1,000. If the value of the investment increases to $5,000 but you sell the shares, your realized gain equals $4,000.
Why Does a Realized Gain Matter?
Personalized Financial Plans for an Uncertain Market
In today’s uncertain market, investors are looking for answers to help them grow and protect their savings. So we partnered with Vanguard Advisers -- one of the most trusted names in finance -- to offer you a financial plan built to withstand a variety of market and economic conditions. A Vanguard advisor will craft your customized plan and then manage your savings, giving you more confidence to help you meet your goals. Click here to get started.
Read This Next
