Marktausführungsprozess

Marktausführung is a German term that translates to "market execution" in English. It refers to an order to buy or sell a security that is executed immediately at the best available price in the market. This type of order prioritizes speed of execution over the specific price at which the trade occurs.

When a market order is placed, the broker or trading platform will attempt to fill the order as quickly as possible by matching it with outstanding buy or sell orders on the exchange. This means the investor may not know the exact price they will receive for their trade until the order is completed. While market orders guarantee execution, they can sometimes result in slippage, especially in volatile markets or for less liquid securities, where the execution price might differ from the quoted price.

Market orders are commonly used by traders who are primarily concerned with entering or exiting a position swiftly and are willing to accept the prevailing market price to achieve this. They are the default order type in many trading platforms. In contrast to limit orders, which specify a maximum purchase price or minimum selling price, market orders do not have such price constraints. This lack of price control makes them suitable for situations where certainty of execution is more important than price certainty.