Financial Logic Engine
Transparent. Auditable. Trust-First.
Every calculation, every data point, every decision—fully documented and verifiable. No black boxes. No hidden assumptions.
Engine Status
LIVE
Security & Trust
End-to-End Encryption
TLS 1.3 + AES-256
No Data Selling
Your data stays yours
Multi-Source Validation
Cross-verified accuracy
Real-Time Updates
Market hours refresh
Confidence Levels
Data Sourcing & Validation
EXACTTradingKite sources market data from verified API partners and global financial data providers. We use multiple independent sources to ensure accuracy and reliability.
Validation Engine:
- Cross-validates data points across multiple sources
- Identifies and flags anomalies or stale data
- Normalizes symbols and formats for consistency
- Tracks data freshness with timestamp precision
All incoming data passes through our proprietary validation engine before being displayed to users.
Portfolio Valuation
EXACTCurrent portfolio value is calculated using the most recent cached market prices from our data providers. Prices are updated multiple times per day during market hours.
Formula
Portfolio Value = Σ (Quantity × Current Price)Each holding's value is calculated by multiplying the quantity you own by the current market price.
The total portfolio value is the sum of all individual holding values, converted to your portfolio currency.
Example:
10 shares × $150.00 = $1,500.00Price Return
EXACTPrice Return measures capital appreciation/depreciation without dividends. This shows how much your investments have grown (or declined) based purely on price changes.
Formula
Price Return = Current Value - Invested ValueThis metric is based on:
- Your recorded purchase prices
- Live market data for current prices
✓ Confidence: EXACT - Based on confirmed purchase records and live market data
Total Return (Investing)
ESTIMATEDTotal Return includes both price appreciation and dividend income. This is your complete return picture.
Formula
Total Return = Price Return + Σ Net Dividends (after withholding tax, converted to portfolio currency)Confidence Levels:
- ESTIMATED if any dividend or FX rate is missing/estimated
- EXACT if all dividends and FX rates are confirmed
Dividends are automatically adjusted for withholding tax and converted to your portfolio currency.
FX Conversion
ESTIMATEDMulti-currency holdings are converted to your portfolio currency using historical rates for purchases and current rates for valuations.
Rate Sources:
- Historical FX rates for purchase date (stored at import time)
- Current FX rates for current value (daily cache refresh)
⚠️ Confidence: ESTIMATED if historical rate missing (uses live rate as fallback)
Risk Score (0-100)
Portfolio risk score evaluates multiple dimensions of your portfolio health. Higher scores indicate better risk management.
Evaluation Criteria:
- Sector concentration (penalty if any sector >50%)
- Portfolio beta (penalty if >1.3, high market volatility)
- Portfolio volatility (penalty if >35%)
- Diversification (penalty if <5 holdings or >30 holdings)
Risk Levels:
Alerts (Investing)
Alerts are evaluated on schedule (EOD or intraday) using cached data. Market-aware system skips evaluation when markets are closed.
Alert Types:
- Price Threshold: Triggers when stock price crosses configured threshold
- Allocation Drift: Triggers when position exceeds % of portfolio
- Risk Spike: Triggers on day-over-day risk score change or absolute threshold
- Tax Opportunity: Triggers when position approaches LTCG threshold (365 days)
Cooldown mechanism prevents spam. All alerts respect market hours.
Trade Planning (Planning)
Position sizing calculator uses Risk:Reward (R:R) methodology to help you plan trades with proper risk management.
R:R Methodology:
Risk per share = |Entry Price - Stop Loss|Reward per share = |Target Price - Entry Price|Position Size = (Capital × Risk %) / Risk per shareR:R Ratio = Reward per share / Risk per share⚠️ All calculations are stateless. TradingKite does NOT execute trades or place orders.
Confidence Tracking
Every computed metric includes a confidence indicator to ensure transparency about data quality and estimation.
Confidence Levels:
EXACT
All inputs confirmed, no estimation
ESTIMATED
Some inputs missing/stale, fallback used
Hover or click badges for detailed reasons (e.g., "FX rate missing for dividend on 2024-01-15").
No Math Lies Principle
TradingKite never displays a number without context. Every metric is transparent, traceable, and honest.