Market impact is a measure of each trade’s average execution price versus the volume weighted average price of the stock for that trading day. It is thus a measure of how the size of the order affects the price at which it is executed.
If you liked this article and want to read other great stories, try our Archives. Also if you are new to investing you can try our Investment Basics Blog.
If you want to start investing with SSL but don’t have the time to monitor the market or to conduct the trades yourself then you can choose one of SSL’s managed Financial Planning products. We offer a variety of products for every type of investor and if you are interested in managing online trades yourself and having complete control over your investment portfolio then you can try SSL’s Brokerage account.
Follow us on Facebook, LinkedIn and Twitter please leave us a review.