When buying or selling stocks, it’s essential to understand the concepts of Ask Price, Bid Price, and Last Sale Price. This will help you gain a clear view of the real price at which stocks are being traded. Think of the stock market as a constant exchange: every time you buy a stock, someone else is selling it, and every time you sell a stock, someone else is buying it.
At Hapi, we use the NBBO (National Best Bid and Offer), which ensures a consolidated reference of the best bid and ask prices available across all exchanges.
Let's see and example:
NBBO Quote
In the U.S., the National Best Bid and Offer (NBBO) provides a consolidated view of the highest bid and lowest ask prices across all exchanges. The Securities and Exchange Commission (SEC) created the NBBO to ensure brokers provide their customers with the best publicly available bid and ask prices when trading securities.
That’s why prices on Hapi represent the best price at which a trade can be executed at any given moment.
What are Ask and Bid Prices?
The Bid Price and Ask Price represent the best-quoted prices for a stock or option across all exchanges.
Ask Price: The lowest price sellers are willing to accept and the price you, as an investor, would pay when buying a stock.
Bid Price: The price you would receive when selling a stock. It’s the price buyers are willing to pay, similar to an auction where the highest bid wins.
Important:
The execution price of an order in Hapi is determined by the best available price (NBBO) at the time the order is placed, usually within the bid-ask range. However, it may vary slightly from the price shown in the order summary due to timing differences between confirmation and execution.
If you want more control over the exact execution price, we recommend using a limit, stop, or stop-limit order, where you can set a specific price.
Summary:
The displayed price is the Last Sale Price, which reflects the most recent trade.
When buying a stock, you’ll pay the Ask Price.
When selling a stock, you’ll receive the Bid Price.
You can contact our support team here. We’re here to help!