# Zomma Terms

### Unrealized PnL

**UPnL= buyers' unrealized PnL + writers' unrealized PnL***
UPnL *reflects as the sum of unrealized PnL from both options buyers & writers.

### Margin Balance

**Margin Balance = Balance + Net (option premiums received - option premiums paid)***
Margin Balance *reflects the sum of balance and net option premiums received & paid.

### Equity

**Equity = Margin Balance + Buyers' and Writers' real-time theoretical values of positions***
Equity *reflects the sum of margin balance and real-time theoretical total values of positions acquired by both buyers & writers.

### Available Balance

**Available= Margin Balance- Initial Margin***
Available *reflects the difference of margin balance and initial margin.

### Initial Margin

**Initial Margin = Real-time maximal risks exposure (10%) +** **Abs( Writers' total real-time theoretical values of positions )**

**Initial Margin = Real-time maximal risks exposure (10%) +**

**Abs( Writers' total real-time theoretical values of positions )**

* Initial Margin *reflects the amount of funds option writer should maintain in the account to proceed with options selling.

### Real-time maximal risks exposure

**Real-time maximal risks exposure = writers' position size * spot price**

### Utilization

**Utilization = 1- ( Available / Equity )**

* Utilization *calculates the amount of funds used in a specific pool.

### Health Factor

**HF= Equity / ( Initial margin + Buyers' & Writers' Real-time theoretical total values of positions )**

* HF *reflects the status of healthiness of an individual account, calculates the division value of equity over the sum of initial margin and real-time theoretical total values of positions acquired by both buyers & writers.

### Shares

* Share *reflects the proportion of funds in a liquidity pool owns by the liquidity providers upon liquidity addition.

**Good to know!** We're still documenting this version of GitBook. Some documentation links might be out of date for now!

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