> ## Documentation Index
> Fetch the complete documentation index at: https://tendrill.ai/docs/llms.txt
> Use this file to discover all available pages before exploring further.

# Reading Portfolio Impact

> Understanding what the numbers in your alerts mean

## Making sense of the numbers

When Tendrill sends you an alert like "Your position is up +\$6,600 (+3.4%)", what do those numbers actually mean? This guide helps you understand how to read and interpret portfolio impact calculations.

## Anatomy of a portfolio impact alert

**Example alert:** "\$NVDA just jumped 3.2% after earnings"

**Your position: +\$6,600 (+3.4%)**

* **+\$6,600** = Dollar change in your value
* **+3.4%** = Percentage change

**Position details:**

* Shares owned: 50
* Previous value: \$194,100
* Current value: \$200,700

## Understanding each component

### Dollar change (+\$6,600)

This is the absolute change in your position's value:

* **Previous value**: What your shares were worth before the move
* **Current value**: What they're worth now
* **Dollar change**: Current - Previous = \$6,600

<Tip>
  The dollar change tells you the real-world impact on your wealth. A 3% move on a $1,000 position ($30) feels different than 3% on a $200,000 position ($6,000).
</Tip>

### Percentage change (+3.4%)

The percentage change shows the relative move:

* **Stock moved**: 3.2%
* **Your position moved**: 3.4%

<Note>
  Why might your position percentage differ from the stock's move? A few reasons:

  * Cost basis differences affect gain/loss percentages
  * If you added shares at different prices
  * Rounding in the display
</Note>

### Position vs. portfolio impact

Tendrill sometimes shows both:

```
Position impact: +$6,600 (+3.4%)
Portfolio impact: +1.2% of total
```

| Metric               | What It Shows                                               |
| -------------------- | ----------------------------------------------------------- |
| **Position impact**  | How much that specific holding changed                      |
| **Portfolio impact** | How much your TOTAL portfolio changed because of this stock |

**Example:**

* NVDA is 35% of your portfolio
* NVDA goes up 3.4%
* Your portfolio goes up approximately 1.2% (35% × 3.4%)

## Reading different alert types

### Earnings alerts

> **AAPL earnings results:**
>
> Stock reaction: +5.2%
> Your position: +\$1,040 (+5.2%)
> Portfolio impact: +0.8% of total value
>
> You own 50 shares worth \$21,040 (now)
> AAPL is 8% of your portfolio

**How to interpret:**

* Apple went up 5.2% on earnings
* Your Apple shares are worth \$1,040 more
* Your entire portfolio is up 0.8% just from this one stock

### Daily summary

> **Today's portfolio: +\$2,340 (+1.8%)**
>
> Top contributors:
>
> * NVDA: +\$1,200 (+2.7%)
> * AAPL: +\$620 (+3.0%)
> * MSFT: +\$380 (+1.9%)
>
> Top detractor:
>
> * TSLA: -\$180 (-2.9%)

**How to interpret:**

* Your total portfolio gained \$2,340
* Most of that (\$1,200) came from NVIDIA
* Tesla partially offset gains with a loss

### Decline alerts

> **TSLA down 8% today**
>
> Your position: -\$992 (-8.0%)
> Portfolio impact: -0.9% of total
>
> You own 15 shares worth \$11,408 (now)
> TSLA is 8.7% of your portfolio

**How to interpret:**

* Tesla dropped 8%
* You lost \$992 in value on paper
* Your overall portfolio is down less than 1% from this

## Common questions about portfolio impact

<AccordionGroup>
  <Accordion title="Did I actually lose/make money?">
    Not until you sell! These are "paper gains" or "paper losses." If NVDA goes up $6,600 today but down $6,600 tomorrow, and you didn't sell, you're back where you started. Real gains/losses happen when you actually sell shares.
  </Accordion>

  <Accordion title="Why does the portfolio impact seem smaller than expected?">
    Because you own other things too. If NVDA is 35% of your portfolio and drops 10%, your portfolio only drops about 3.5%. Diversification in action!
  </Accordion>

  <Accordion title="What's the difference between 'change today' and 'total gain/loss'?">
    * **Change today**: Movement since market open (or since yesterday's close)
    * **Total gain/loss**: Movement since you bought the stock (your cost basis)

    You might be up $500 today but still down $2,000 overall if you bought at higher prices.
  </Accordion>

  <Accordion title="Why is my percentage different from Yahoo Finance?">
    Different services calculate percentages slightly differently:

    * Time of price quote
    * Whether pre/after-market is included
    * How dividends are handled

    Small differences are normal. The trend and direction matter more than exact decimals.
  </Accordion>
</AccordionGroup>

## Calculating your own impact

Want to verify Tendrill's math? Here's how:

### Position dollar change

```
Dollar Change = Shares × (Current Price - Previous Price)

Example:
50 shares × ($890 - $862) = 50 × $28 = $1,400
```

### Position percentage change

```
% Change = (Dollar Change / Previous Value) × 100

Example:
($1,400 / $43,100) × 100 = 3.25%
```

### Portfolio impact

```
Portfolio Impact = (Position Dollar Change / Total Portfolio Value) × 100

Example:
($1,400 / $131,200) × 100 = 1.07%
```

## Weight matters more than you think

<Columns cols={2}>
  <Card title="Big position, small move" icon="chart-pie">
    NVDA (35% of portfolio) up 1% = Portfolio up 0.35%
  </Card>

  <Card title="Small position, big move" icon="chart-line">
    TSLA (5% of portfolio) up 10% = Portfolio up 0.5%
  </Card>
</Columns>

**The math:** Position weight × Move = Portfolio impact

This is why concentration risk matters. A 35% position can move your whole portfolio significantly, even on small percentage moves.

## Tips for interpreting alerts

<CardGroup cols={2}>
  <Card title="Focus on dollars for large positions" icon="dollar-sign">
    A 2% move on $100,000 ($2,000) matters more than 10% on $1,000 ($100)
  </Card>

  <Card title="Focus on percentages for comparisons" icon="percent">
    Is 8% normal for this stock? Check historical volatility
  </Card>

  <Card title="Consider your time horizon" icon="clock">
    Daily swings matter less if you're investing for 20 years
  </Card>

  <Card title="Watch portfolio impact, not just position" icon="chart-pie">
    A 15% drop in a 2% position barely dents your portfolio
  </Card>
</CardGroup>

## Next steps

<CardGroup cols={2}>
  <Card title="Allocation Analysis" icon="chart-pie" href="/insights/allocation-analysis">
    Understand your sector and position weights
  </Card>

  <Card title="Understanding News Context" icon="newspaper" href="/insights/news-context">
    How Tendrill summarizes market events
  </Card>
</CardGroup>