Market Order: What Does It Mean?
A market order is an instruction to your broker to buy or sell a security immediately at the best available current price. Market orders prioritize speed of execution over price. Your trade is virtually guaranteed to go through, but the exact price you pay (or receive) is not guaranteed. In fast-moving or thinly traded markets, slippage can occur, meaning the execution price differs from the price you saw when placing the order. For most long-term investors purchasing highly liquid securities like broad-market ETFs and index funds, market orders are perfectly appropriate and simple to use.
