Michael Burley

I use FX hedging within an investment portfolio. As each FX-contract comes to maturity the hedging P&L is effectively realised every 3 months. However the counter P&L on the foreign investments is not realised at the same time, and may not be realised for many years. How should I report the P&L on self-assessment, where a realised FX gain should really correspond to an unrealised investment loss (or vice-versa, where a realised FX loss should correspond to an unrealised investment gain)? Thanks