Corporate Actions

Clearing Price/Cut-off Price

In the world of finance, there exists a term known as the cut-off/clearing price. This is the lowest price at which the OFS (Offer for Sale) is subscribed. It is important to note that this price is displayed separately for the Retail and Non Retail Categories. Another term to be familiar with is the Single Clearing Price, which is the price at which shares are allocated to successful bidders in a proportionate basis. This means that all successful bidders are allocated shares at the same price. Lastly, we have the Multiple Clearing Prices, which are prices at which shares are allocated to successful bidders in a price priority methodology. These terms are essential to understanding the mechanics of the stock market and its various processes.

Related terms

Indicative Price

Understand the meaning and definition of Indicative Price in the context of stock market, trading, and investments.

MORE
Rights Issue

Understand the meaning and definition of Rights Issue in the context of stock market, trading, and investments.

MORE
Fully Paid Rights Issue

Understand the meaning and definition of Fully Paid Rights Issue in the context of stock market, trading, and investments.

MORE
OFS

Understand the meaning and definition of OFS in the context of stock market, trading, and investments.

MORE
Rights Entitlement

Understand the meaning and definition of Rights Entitlement in the context of stock market, trading, and investments.

MORE
Date of Credit

Understand the meaning and definition of Date of Credit in the context of stock market, trading, and investments.

MORE
Open Free Demat Account!

Join our 3.5 Cr+ happy customers

+91
Explore other categories
Enjoy Zero Brokerage on Equity Delivery
4.4 Cr+DOWNLOADS
Enjoy Zero Brokerage On Stock Investments

Get the link to download the App

Get it on Google PlayDownload on the App Store
Open Free Demat Account!
Join our 3.5 Cr+ happy customers