QUICK DEFINITION
Ask Price is the lowest price at which a seller is currently willing to sell a security.
WHY IT MATTERS
Why Ask Price matters in bond markets
The ask, together with the bid, determines the visible transaction cost represented by the bid-ask spread.
MARKET CONTEXT
How to think about it
Bond investors use ask price as part of a wider framework that links prices, yields, cash flows, liquidity and risk. The concept should therefore be read together with its related terms rather than as an isolated definition.
Is Ask Price important for fixed-income investors?
← Back to the Bond Market Glossary Yes. The ask, together with the bid, determines the visible transaction cost represented by the bid-ask spread.