Skip to content
GetProfitable
Search
Dictionary

Odd lot

An order or trade for fewer shares than the standard round lot, historically 100 shares in US equities.

Odd lots used to be second-class citizens: they did not update the tape in the same way and were long excluded from the protected quote. As share prices rose, odd lots became a large share of trading volume, which distorted what the consolidated-tape showed.

That is why the odd-lot quote was added to the tape and why a mixed lot — say 250 shares — is handled as a round lot plus an odd lot at many venues.

Example: buying 3 shares of a $3,000 stock is a $9,000 trade and an odd lot; buying 100 shares of a $4 stock is a $400 trade and a round lot. Only one of them counted toward the displayed nbbo under the older rules.

Related: round-lot, nbbo

Educational only, not advice. Spotted an error? Post in Site Feedback.