Trading costs

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Trading costs

Costs of buying and selling marketable securities and borrowing. Trading costs include commissions, slippage, and the bid/ask spread. See: Transactions costs.

Trading Costs

All commissions and other expenses related to the trade of a security. When an investor buys or sells a security, he/she must usually pay a fee to his/her investment adviser and/or broker. Research and other indirect costs informing investment decisions are not usually considered trading costs unless they directly relate to or result from a specific transaction. The investor accounts for these expenses when calculating whether an investment earned a profit or loss. See also: All in cost.
References in periodicals archive ?
The talks also reviewed means of accelerating the implementation of a program for getting governmental companies to float in the bourse in addition to lowering trading cost and increasing bourse efficiency.
The Saudi market recorded an increase of 4.8 percent in trading cost to reach USD 232.2 billion which is 79 percent of the overall trading activity of the GCC market.
Suppose the border price of offshored input from industry k is [P.sup.*.sub.k], but in addition, there is an iceberg trading cost such that 1 + [[tau].sub.k] units of the input must be shipped for 1 unit to arrive at the destination; the effective price of a unit of offshored input from industry k is then [P.sup.*.sub.k] (l + [[tau].sub.k]).
If you use an impact cost model to assess changes in trading cost, you get some interesting results.
Though South Asia has significantly reduced import tariff, the trading cost across its borders is the highest in the world, he said, citing, a number of non-tariff barriers have been identified, which not only hamper trade but also increase the business cost.
The difference between the domestic production cost and the delivered cost at the target market is the trading cost of good i at market j.
Translating this into the required return on the security which is costly to trade, we obtain that the required return is the return that would be required on a similar security which is perfectly liquid, plus the expected trading cost per period, i.e., the product of the probability of trading by the transaction cost.
Let C denote a percentage trading cost defined in the following sense.
Therefore, ICBC has innovated the Internet + Bill business mode by launching the ICBC electronic bill trading platform at the beginning of 2015, which made the bill financing serve the real economy in a more efficient and high-quality way while enhancing the efficiency of bill trading and cutting down the trading cost. As at the end of November, ICBC electronic bill trading platform has posted a transaction volume of over RMB 1 trillion.
Instead, during the trading day investors will see their trading cost relative to a fund's net asset value, e.
Contract Awarded for coastal trading cost benefit analysis