Just wanted to confirm that IB doesn't not automatically convert FX G/L to USD and that you have to use the "Close Currency Balance" option or something similar in the Account Window. Thanks in advance.
If the amount is very small, like a dollar, they will periodically convert it to your base currency without a commission charge. Otherwise, no. You have to do it yourself and pay a commission.
I recognize that the answer is probably "It depends" but is there some standard that FX traders use when they've accumulated gains or losses in a foreign currency? I'm thinking I'd just accumulate the currency until month-end and then convert so I can record my gains/ losses on a monthly basis. I suspect that very large FX traders would convert their gains/ losses almost as frequently as they make trades. My gains aren't so large that currency rate changes in the course of a month are unlikely to have a major impact on my results. Thoughts anyone? Nolan