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The National Best Bid and Offer - the best available buy and sell price for a stock across all US exchanges at a given moment.
Why It Matters
The NBBO is your built-in protection. By law, your broker must fill your order at a price at least as good as the NBBO at the moment of execution. It combines quotes from every US exchange into one 'best' bid and 'best' ask, so even if your order is routed away from a major exchange, you can't be given a worse price than the national best. It's a floor on quality, not a promise of the single best possible fill.
Key Points
- Stands for National Best Bid and Offer
- Combines quotes across all US exchanges into one best bid and best ask
- Your broker must legally match or beat it when your order fills
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How Stock Orders Work
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Common Questions
The National Best Bid and Offer - the best available buy and sell price for a stock across all US exchanges at a given moment. The NBBO is your built-in protection. By law, your broker must fill your order at a price at least as good as the NBBO at the moment of execution.
The NBBO is your built-in protection. By law, your broker must fill your order at a price at least as good as the NBBO at the moment of execution. It combines quotes from every US exchange into one 'best' bid and 'best' ask, so even if your order is routed away from a major exchange, you can't be given a worse price than the national best. It's a floor on quality, not a promise of the single best possible fill.
Stands for National Best Bid and Offer
Combines quotes across all US exchanges into one best bid and best ask
Your broker must legally match or beat it when your order fills