trading profit

Trading profit

The profit earned on short-term trades of securities held for less than one year, subject to tax at normal income tax rates.

Trading Profit

The profit that an investor derives from buying and selling short-term securities, or those that the investor holds for less than one year. Trading profits can be substantial if the investor knows what he/she is doing, but there is a good deal of risk involved. Governments often seek to encourage long-term investment at the expense of short-term, and because of this, trading profit is usually taxed at the (higher) income tax rate instead of the capital gains rate.

trading profit

The income derived from buying and selling a security at a profit within a relatively short-term period.

trading profit

see OPERATING PROFIT.
References in periodicals archive ?
Rupert Soames, chief executive of Serco, said: "Notwithstanding the well-flagged decline in profits compared with the first half of 2016, trading in the first half of 2017 keeps us on track to achieve our expectations for the full year, and represents an improvement in underlying trading profit on the second half of 2016.
However, it is financial performance--and growing trading profit in particular --that validates whether a practice is performing well to prospective buyers.
Both revenue and trading profit from the rest of Africa rose 43 per cent, boosting group trading profit from continuing operations by 10 per cent.
THE plumbing supplier reported a first quarter update roughly as expected but its trading profit falling 21% to PS19m failed to impress.
Its UK arm which represents 10% of group trading profit and includes Parts Center, Pipe Center, and Drain Center saw earnings fall by 6% to PS90m.
9 per cent, on the year before, while trading profit in continuing businesses, before exceptional items, rose by 3.
Fiat sharply cut its group targets for the next two years on Tuesday, saying languishing sales in austerity-hit Europe may mean its trading profit in 2014 is a third lower than it targeted two years ago.
The society has seen a consequent strengthening of operating margins in food stores, which has contributed significantly to the increased trading profit.
However, its dessert making and ready meals division, Brookes Avana, suffered a pounds 15m fall in trading profit and a pounds 125m goodwill writedown, which contributed to an overall pre-tax loss of pounds 98.
6 billion), while trading profit grew 12% to 541 million euros ($699.
12 billion [pounds sterling], group trading profit advanced 20.
Trading profit increased 25 per cent to pounds 109.