Investing Answers Building and Protecting Your Wealth through Education Publisher of The Next Banks That Could Fail
Investing Answers Building and Protecting Your Wealth through Education Publisher of The Next Banks That Could Fail

Market versus Quote (MVQ)

What it is:

Market versus quote (MVQ) refers to the most recent market price at which a security was either bought or sold with regard to the latest bid and ask prices.

How it works (Example):

MVQ is the difference between the last market price at which a security was bought or sold and the most recent bid and ask prices.

For example, suppose Stock ABC last traded at $50 per share and the current bid/ask prices are $49.50 and $50.50, respectively. The MVQ for Stock ABC is $0.50 because the difference between the market price and both the bid and ask prices is $0.50.

Why it Matters:

A security's MVQ indicates the amount that a broker or market maker takes as a commission for trading a security on a buyer or seller's behalf. Furthermore, a smaller MVQ value suggests that a security is more liquid than one with a higher MVQ.

Related Terms View All
  • Auction Market
    Though most of the trading is done via computer, auction markets can also be operated via...
  • Best Execution
    Let's assume you place an order to buy 100 shares of Company XYZ stock. The current quote...
  • Book-Entry Savings Bond
    Savings bonds are bonds issued by the U.S. government at face values ranging from $50 to...
  • Break-Even Point
    The basic idea behind break-even point is to calculate the point at which revenues begin...
  • Calendar Year
    If Company XYZ starts its fiscal year on January 1 and ends its fiscal year on December...