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Bid offer spread |
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Bid/offer spreadThe difference between the selling price and the purchase price for investments.When you ask a broker what price the shares of a company are trading at in the market, he will quote two prices: the bid price is the price at which you can sell your shares, and the offer price is the price at which you can buy them. The first is always lower than the second, and the difference between them is the spread.Market makers, who act like wholesalers in the stock market, make their profit from the spread - buying shares at the bid price and selling them at the offer priceBid offer spreadThe difference between the selling price and the purchase price for investments.When you ask a broker what price the shares of a company are trading at in the market, he will quote two prices: the bid price is the price at which you can sell your shares, and the offer price is the price at which you can buy them. The first is always lower than the second, and the difference between them is the spread.Market makers, who act like wholesalers in the stock market, make their profit from the spread - buying shares at the bid price and selling them at the offer priceSimilar MatchesRatio Calendar SpreadRatio Calendar SpreadSelling more near-term options than longer-term ones purchased, all with the same strike; either puts or calls. Call spreadCall spreadThe simultaneous purchase (sale) of a call at one exercise price and sale (purchase) of another call at a higher exercise price. TED spreadTED spreadDifference between US Treasury bill rate and Eurodollar rate; used by some traders as a measure of investor/trader anxiety or credit quality. Intermarket sector spreadIntermarket sector spreadThe spread between the interest rate offered in two sectors of the bond market for issues of the same maturity. Calendar spreadCalendar spreadApplies to derivative products. A strategy in which there is a simultaneous purchase and sale of options of the same class at different strike prices, but with the same expiration date. Further Suggestionsspread bettingSpread order credit spread Put ratio backspread backspread put spread Bull spread bear call spread Narrowing the spread Bid asked spread Mob spread Spread option Generic credit spread bear put spread Spread strategy ratio spread NOB spread Box spread Intercommodity spread Vertical spread Underwriting spread Dealers spread Relative yield spread condor spread Delta Spread |
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