Bid Price

Posted in Finance, Accounting and Economics Terms, Total Reads: 1063

Definition: Bid Price

Bid Price is a price specified in the bid and refers to the highest price that an investor is willing to pay for a security.

Similarly, there is an ask price that is the minimum an investor expects in return for a security. The difference between the bid and ask price is referred to as the bid/ask spread which is one of the most important terms in the financial markets.

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