Formulas
Gross P&L = s × Q × (Exit − Entry)Fees = Q × Entry × opening fee + Q × Exit × closing feeNet P&L = Gross − FeesROE = Net ÷ (Q × Entry ÷ Leverage)Break-even (long) = Entry × (1 + opening fee) ÷ (1 − closing fee)Break-even (short) = Entry × (1 − opening fee) ÷ (1 + closing fee)Q is the size in coins and s is +1 for a long and −1 for a short.
Worked example
Long 2 ETH at 2,500, exit at 2,600, 10x leverage, 0.05% fees on both sides.
Gross profit 200 USDT. Fees 2.50 + 2.60 = 5.10 USDT. Net profit 194.90 USDT. Margin 500 USDT, so the ROE is 38.98%. Break-even exit: 2,500 × 1.0005 ÷ 0.9995 = 2,502.50.
What this doesn't include
Funding payments are left out because they depend on how long you hold the position. On Hyperliquid funding is paid every hour. A long pays shorts when the rate is positive and receives when it is negative. For a trade held over several funding times, add or subtract the expected funding from the net result.
Frequently asked questions
What is the difference between P&L and ROE?
P&L is the profit or loss in the margin currency, usually USDT. ROE is that result divided by the margin you put up, so it shows the return on your own money. At 10x leverage, a 1% price move is about a 10% ROE before fees.
Does leverage change my profit?
No. Profit depends on the size and the price move. Leverage only changes how much margin the position needs, which changes the ROE and the liquidation price.
Why do I need a price move just to break even?
You pay a fee to open and another to close. The price has to move far enough in your favour to cover both before the trade is positive.
Which fee rate should I enter?
Market orders pay the taker fee and resting limit orders pay the maker fee. Hyperliquid regular users pay 0.045% taker and 0.015% maker. VIP levels and exchange-token discounts lower these rates, so enter the rates shown in your account.