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What is Bid Price?

The price at which units are sold back to the fund managers by investors. The difference between the bid and offer prices is know as the bid and offer spread – generally about 5% on an equity unit trust. Also the price at which a market maker will buy a share from an investor.

Also can be considered the highest price a prospective buyer (the offerer) is willing to pay (the seller) at a particular time for securities, futures contracts or foreign currencies.

What is Offer Price?

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