Saxo Bank is implementing updates across its platforms, impacting GO, PRO, and Investor users with a new approach to ‘Cash.’ In an effort to streamline and clarify its financial reporting, Saxo will be revising the definition of ‘Cash’ on all platforms. This change will be available to all users via platform notifications.

The key adjustment involves the separation of accruals, specifically financing and corporate action accruals, from the cash balance into a distinct section. This transition means that following the update, clients may notice a decrease in their ‘Cash’ balance while their overall account balance remains unchanged.

Saxo Bank Platforms Updates: Clarifying ‘Cash’ Definitions

To simplify, Saxo’s new definition of ‘Cash’ will be:

• Cash = Cash balance + Transactions not booked (intraday transactions only)

Accruals, including financing and corporate actions, will now be categorized under a new subtotal called ‘Total Accruals’:

• Total accruals = Financing accruals + Corporate action accruals

Financing accruals encompass unrealized amounts such as financing costs and interest.

Corporate action accruals cover projected cash related to dividends, bond coupons, and taxes.

Importantly, Saxo emphasizes that while the definition and allocation of ‘Cash’ are changing, the overall account value calculation remains consistent with its current methodology. The updated formula for account value reflects the following:

Account value = Cash (new definition, excluding accruals) + Value of positions + Total accruals

Notably, there are no alterations to the risk assessment metrics such as buying power, margin availability, or withdrawal capabilities.

These changes are part of Saxo Bank’s ongoing efforts to enhance transparency and clarity for its users, ensuring that financial information remains accessible and comprehensible across its platforms.

Saxo Bank remains committed to delivering a robust and user-friendly experience, empowering its clients with the tools and information needed to navigate the financial markets with confidence. Users can expect further communication and support from Saxo as these updates are out, reinforcing its dedication to transparency and customer satisfaction.

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