What is Impact Cost?
Impact Cost — The cost of moving the price against yourself when placing a large order relative to available liquidity.
In simple terms
A big order in a low-volume stock has high impact cost.
Why Impact Cost matters when you invest
Understanding impact cost helps you make better-informed decisions when you invest and trade on ROAR by DP TradeKING. Open a free account to put it into practice — ₹0 delivery brokerage and zero-commission direct mutual funds.
Impact Cost — frequently asked questions
What is Impact Cost?
The cost of moving the price against yourself when placing a large order relative to available liquidity.
What does Impact Cost mean in the stock market?
The cost of moving the price against yourself when placing a large order relative to available liquidity. A big order in a low-volume stock has high impact cost.
Can you give an example of Impact Cost?
A big order in a low-volume stock has high impact cost.
Related terms
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