Danish Saxo Bank has announced upcoming significant changes across all of its platforms - GO, PRO and Investor. These changes include a redefinition of what constitutes "Cash" in user accounts.

The redefinition aims to simplify the understanding of "Cash" by removing certain accruals and placing them in a new section. This will include moving finance and corporate actions accruals from cash value to a separate category. As a result, clients may notice a reduction in their "Cash" balance after the update, although their overall account balance will remain unchanged.

The simplified definition of "Cash" will now look as follows:

- Cash = Cash Balance + Unrecorded Transactions (intraday transactions only).

Specifically, funding accruals and corporate action accruals will no longer be included in the Cash category. Instead, they will be placed in a new subtotal called "Total Accruals":

- Total Accruals = Funding Accruals + Corporate Action Accruals

Breaking this down in more detail:

- Financing accruals: these are unrealized accruals covering financing, borrowing costs, interest and other related expenses.

- Corporate actions accruals: these include projected cash receipts from corporate events such as dividends, bond coupons, withholding taxes and similar items.

Saxo Bank emphasizes that while the definition of "account value" is changing to reflect these changes, the actual calculation method is simply adjusted to more clearly separate accruals:

- Current: Account Value = Cash (including accruals) + Item Value

- New: Account Value = Cash (excluding accruals) + Cost of Items + Total Accruals

It is important to note that there will be no changes to definitions related to risk metrics such as purchasing power, available margin or amounts available for withdrawal.

These adjustments are intended to provide clearer financial reporting and greater transparency for users. Saxo Bank will notify all users via platform notifications to ensure that everyone is informed of these upcoming changes.