In the secondary market, which price reflects the amount a customer will pay to buy securities?

The ask price represents the amount a customer will pay to buy securities in the secondary market. This price is set by the sellers and indicates the minimum price at which they are willing to sell their securities. When investors are looking to purchase stocks or bonds, they typically look at the ask price, as it tells them how much they need to pay to acquire those assets.

In contrast, the bid price is the amount a buyer is willing to pay for a security, which is lower than the ask price. The limit price comes into play when an investor specifies the maximum price they are willing to pay for a security when placing a limit order, while the stop price is related to stop orders, which trigger a market order when a certain price is reached. Understanding these distinctions is crucial for anyone participating in the secondary market.