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In 100 words or less, explain why bid-ask spread is considered as a component of transaction cost. Explain the types of trades (both investor characteristics
In 100 words or less, explain why bid-ask spread is considered as a component of transaction cost. Explain the types of trades (both investor characteristics and size of the transection) that would tend to result in the price impact being the biggest contributor to overall transaction costs when executing a trade.
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