When you joined Newton, you were required to complete a questionnaire to determine if investing in cryptocurrencies was appropriate for you. One of the questions asked how much you are comfortable losing due to market volatility. This is what determines your portfolio loss threshold (you may also see this referred to as "loss limit" on other crypto platforms).
As a registered crypto broker dealer, we are now required to send you an notification if you are approaching or have reached your loss threshold. For example, if you indicated you were comfortable losing half of your portfolio, you would receive a notification if you are approaching or had approached that loss amount. It is important to note that we look at your current holdings and unrealized gains/losses to determine this.
Keep in mind that your your portfolio value is updating in real-time. Your portfolio value may have changed in the time between when you received the alert and when you view your portfolio.
Can I update my portfolio loss threshold?
It is a regulatory requirement to complete the trading questionnaire annually and users can update their preferences at that time.
How is the portfolio loss amount calculated?
It is determined based on your answers in the trading questionnaire. Specifically, the question around how much you were comfortable losing due to market volatility. That response determines your portfolio loss threshold. Notifications are then triggered based on market movements within a rolling 72-hour time period if you are approaching or have reached that threshold.
We use a simple calculation that takes the change in your account balance, excluding any deposits or withdrawals, and divides it by your net invested amount. Please note, pending transactions may impact your reported portfolio performance — this may include transactions that are in-progress, failed, reversed, or processed during our calculation period.
Can I view my historical account balance?
You can view your historical account balance dating back to May 2022 by downloading your monthly statements. Instructions on how to do that can be found here.
If you have any questions, please contact our support team using the “Help” icon in the Newton web app, or go to Settings > Support if you’re on mobile.