Time-weighted average price
Average price of a security over a specified time / From Wikipedia, the free encyclopedia
Dear Wikiwand AI, let's keep it short by simply answering these key questions:
Can you list the top facts and stats about Time-weighted average price?
Summarize this article for a 10 year old
SHOW ALL QUESTIONS
In finance, time-weighted average price (TWAP) is the average price of a security over a specified time.
TWAP is also sometimes used to describe a TWAP card, that is a strategy that will attempt to execute an order and achieve the TWAP or better. A TWAP strategy underpins more sophisticated ways of buying and selling than simply executing orders en masse: for example, dumping a huge number of shares in one block is likely to affect market perceptions, with an adverse effect on the price.