Financial Glossary: Auction


en			ru			jp

Auction

Auction

A system where potential buyers place competitive bids on assets and services.

An auction is a process of buying and selling goods or services by offering them up for Bid, taking bids, and then selling the item to the winning bidder. In economic theory, an auction may refer to any mechanism or set of trading rules for Exchange. The asset or service in question Will sell to the party that places the highest Bid. In most cases, sellers Will pay a listing fee to the auctioneer, regardless of whether the item actually sells for the desired price.

There are several variations on the basic auction form, including time limits, minimum or maximum limits on Bid prices, and special rules for determining the winning bidder(s) and sale price(s). Participants in an auction may or may not know the identities or actions of other participants. Depending on the auction, bidders may participate in person or remotely through a variety of means, including telephone and the internet. Auctions are generally funded by a sales Commission paid by the seller to the auctioneer or auction company. In addition to this there is sometimes a buyer's Premium on the hammer price.

Posted by Adam Smith Conferences

Back

Privatebanking.com

Get the attention you always wanted and promote your corporate image and standing by benefiting from our state of the art interactive web presence.

Ascent Limited

Experience The Difference. Ascent Limited provides first class wealth management and family office services. Our private banking team, assembled from a group of highly experienced banking professionals, will provide financial advice tailored to your individual requirements and keep your portfolio in tune with the latest market developments and opportunities.

©	Copyright by PRIVATE BANKING.COM 2002- - All rights reserved.