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The difference between ask rate and bid rate is called Spread. Yes or No?

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Question added by Khan Sohal khan , Associate , State Street Syntel Services Pvt Ltd.
Date Posted: 2015/10/25
Manish Jain
by Manish Jain , Operation Analyst , Deutsche bank

Yes, there are probeblity that  the difference is called spread.

Sajukumar Nair
by Sajukumar Nair , Management Consultant , Applus velosi

yes, the spread gives vital information about liquidity of an asset

Hamid Mahmood
by Hamid Mahmood , Financial Accountant , CWT - SML Logistics LLC

Yes, it is also reffered to as transaction cost, as it is the cost to place an order ie buy or sell.

Avinash Bhojwani
by Avinash Bhojwani , Sales Team Manager , Boston Merchant Financial

Yes. The difference between Ask Rate & Bid Rate is called Spread                                                              

YOUSAF  IHSAN
by YOUSAF IHSAN , Business Process Analyst , Air Canada

Yes. The difference between bid and ask is spread

Segundo Rodriguez
by Segundo Rodriguez , Head-Financial Planning Dept , Central Azucarera de la Carlota, Inc

Yes, the difference is called spread.

Faysal Abdel Hamid
by Faysal Abdel Hamid , Senior Accountant , Leaders Aluminium & Glass Industries LLC

Yes, and some brokers offer lower spreads than others. which will give them an advantage over others.

Ghassan Elias Kteily
by Ghassan Elias Kteily , CEO , ASK Sal & SONAF Business Limited, Licensed CIF @ CySEC

In short the differnce between a Bid and an Ask price is called spread ;

spreads can be toght or wide, depnding on competitivness in the market. In some incidences, the spread is Zero, wher the Bid and Ask rates are the same.

najwa mahfoud
by najwa mahfoud , Cost Control coordinator , Family Medical Center

The difference between the bid and the ask price of a security or asset is called spread.therefore the answer is yes

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