swap order

swap order definition - business

swap order

A specialized security order in which a customer specifies that two transactions be made only if a given price differential can be achieved. For example, an investor might specify that 500 shares of one security be purchased and 500 shares of another security be sold only if the former can be executed for $5 per share less than the latter. Also called switch order.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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