Round Lot


DEFINITION of 'Round Lot'

A group of 100 shares of a stock, or any group of shares that can be evenly divided by 100, such as 500, 2,600 or 14,300. A round lot has historically been the smallest order that can be placed through an exchange. However, "round-lot one" now allows for the execution of orders as small as one share on some exchanges. A round lot may also be referred to as a "normal trading unit".


A lot consisting of fewer than 100 shares or a lot that cannot be evenly divided by 100 is called an odd lot. Sometimes odd lots are combined, or "bunched", into round lots to facilitate trading. A mixed lot consists of both a round lot and an odd lot. An order of 198 shares would be considered a mixed lot.
In bond trades, a round lot is usually $100,000 worth of bonds.

  1. Odd Lot Theory

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  2. Odd Lot

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  3. Block Trade

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  4. Lot

    In general, any group of goods or services making up a transaction. ...
  5. Bunching

    The combining of odd-lot or round-lot orders for the same security ...
  6. Board Lot

    A standardized number of shares defined by a stock exchange as ...
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  1. How much more will it cost me to buy an odd lot of shares?

    A round lot is a predetermined number of shares of stock - usually 100 shares, while an odd lot refers to any number of shares ... Read Full Answer >>
  2. What's the smallest number of shares I can buy?

    Unlike mutual funds, which can be purchased in fractional units, shares of stock cannot be divided. So, the smallest number ... Read Full Answer >>
  3. What is the interest rate offered on a typical margin account?

    Interest rates on margin accounts vary according to the size of the loan and the brokerage firm being used. Generally, interest ... Read Full Answer >>
  4. What is the cost of a share purchase?

    When investors purchase shares of stock, the price paid includes two components: the price of the stock and the fee charged ... Read Full Answer >>
  5. What is the difference between fee-based advisors and commission-based advisors?

    The difference between a fee-based adviser and a commission-based adviser is that the former collects a flat fee for investment ... Read Full Answer >>
  6. What is the difference between a custodian bank and a mutual fund custodian?

    Custodian banks and mutual fund custodians, commonly known as mutual fund corporations, perform very similar roles for different ... Read Full Answer >>

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