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Related to Ask price: bid price, Bid and Ask Price


This is the quoted ask, or the lowest price an investor will accept to sell a stock. Practically speaking, this is the quoted offer at which an investor can buy shares of stock; also called the offer price.


The lowest price for which a seller is willing to sell some asset. When one makes a buy order, one may order a broker to buy at the ask, which is simply the best price currently available. The difference between the ask and the bid is called the bid-ask spread, which is a key measure of liquidity.


The price at which a security is offered for sale. Also called offer. See also best ask. Compare bid.


The ask price (a shortening of asked price) is the price at which a market maker or broker offers to sell a security or commodity.

The price another market maker or broker is willing to pay for that security is called the bid price, and the difference between the two prices is called the spread.

Bid and ask prices are typically reported to the media for commodities and over-the-counter (OTC) transactions. In contrast, last, or closing, prices are reported for exchange-traded and national market securities.

With open-end mutual funds, the ask price is the net asset value (NAV), or the price you get if you sell, plus the sales charge, if one applies.

References in periodicals archive ?
Optimal Ask Price and Bid Strategies for Residential Sales.
Our approach is to see whether the relationship between ask prices, offers, and time to sale on the exchange is similar to that in other markets characterized by costly search.
Using these data, we find that high ask prices extend time to sale and that the relationship is stronger in thinner market segments.
Our conclusion is that despite the prevalence of information in the market, ask prices play a role consistent with the predictions of search models.
In this section we discuss some models that explain a functional role for ask prices.
These models can motivate variation in ask prices for identical goods in two ways.
First, higher ask prices will be associated with higher transaction prices.
Most of the existing literature testing the predictions regarding search behavior and ask prices uses data from housing markets.
Some of the work also tests the hypothesis that the variance of buyers' willingness to pay will affect ask prices, offers, and time to sale.
This allows us to test whether higher ask prices actually deter buyers from making offers.
Our approach is therefore to test the predictions of the search model in this setting to assess empirically the role of ask prices and the overall relevance of search models in this online setting.
Before we move to the empirical tests, it is worth discussing some alternative explanations regarding the role of ask prices.