Frequently asked questions

The difference between the price you pay when buying and the price you receive when selling a financial instrument is called spread. Spreads exist on all exchanges and are usually higher for less popular stocks and ETFs that are owned and traded by fewer people. Investors are generally interested in selling shares or ETFs at a high price or buying it at a low price. This means that there is a natural gap between the buying and the selling price. To make the trade happen, you need to bridge this gap and you «pay» the spread compared to the theoretical price in the middle.