How are realized profits different from unrealized or so-called "paper" profits?

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October 2016
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Realized profits means that you have already completed a buy and a sell of the investment. When profits are realized, they are taxable. Unrealized or "paper" profits means that you still own the investment. The profit is on paper, i.e., unrealized, until you sell it. Then it is real and taxable.

October 2016
October 2016
April 2006