Bid-ask spread (bid-offer spread)

Updated: Aug 20, 2021

The difference between the price that be obtained for an immediate sale of an asset (the bid price) and the price that has to be paid for an immediate purchase of that asset (the ask price). The spread is the profit margin for the dealer.

Reference: Oxford Press Dictonary of Economics, 5th edt.

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James Knight
Editor of Education
James is the Editor of Education for Invezz, where he covers topics from across the financial world, from the stock market, to cryptocurrency, to macroeconomic markets.... read more.