Investing term

What is Ask?

The lowest price a seller is currently willing to accept.

The ask (or offer) is the lowest price any seller is currently willing to accept for a security. Pair it with the bid — the highest price a buyer will pay — and the small gap between them is the spread. The ask is the price you'll generally pay when you buy at market.

Because a market buy order fills at the ask, the quoted ask is your real cost of getting in, not the 'last traded' price you might have seen. On heavily traded stocks the ask sits a cent or two above the bid and barely matters; on thinly traded ones a wide ask can quietly raise what you pay well above the midpoint, which is why the ask is worth checking before you buy something obscure.

The price you pay to buy
Buyers pay the ask · sellers receive the bid · the gap is the spreadBID $19.98best buyerASK $20.02best sellerspread 4¢

The ask is the lowest price a seller will accept — what a market buy fills at. On liquid stocks it's a cent above the bid; on thin ones a wide ask quietly raises your cost.

For example

If the bid is $19.98 and the ask is $20.02, buying "at market" fills you at $20.02 — the seller's price, not the midpoint.

Learn it by doing

That's Ask in theory — it clicks when you use it. Practise it hands-on in a free, interactive lesson (Stage 5, How Markets Work Globally).

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Why it matters to you

The ask matters because it's the price you actually transact at when buying, and the gap between it and the bid is a real, invisible cost. On liquid stocks that gap is trivial; on illiquid ones it can dwarf any commission. Knowing that a market buy pays the ask — not the last price or the midpoint — is what stops you from being surprised by your fill, and nudges you toward limit orders on anything thinly traded.

Assuming you'll pay the 'last price'

The price ticking on a quote screen is usually the last trade, but a market buy fills at the current ask, which can be higher — especially on a thin stock where the ask sits well above the last print. Expecting to pay the number you saw, then getting a worse fill, is a common surprise that limit orders prevent.

Frequently asked questions

What is the ask price?

The ask is the lowest price a seller will currently accept for a security. When you buy with a market order, you generally pay the ask. It sits just above the bid (the highest a buyer will pay), and the gap between them is the spread.

What's the difference between the bid and the ask?

The bid is the highest price a buyer will pay; the ask is the lowest price a seller will accept. Buyers generally pay the ask, sellers generally receive the bid, and the difference between the two — the spread — is a hidden cost of trading.

Do I always pay the ask price?

With a market buy, generally yes — it fills at the best available ask. With a limit buy, you can set a lower price and wait, paying the ask only if it falls to your limit. On thin stocks a large market order can even fill above the ask by sweeping deeper into the order book.

Related terms

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