When you place a market order, it is intended to execute immediately at the best available market price. However, the actual execution price can differ from the price you see on screen, especially when:
- The market is moving quickly
- The stock or contract has low liquidity
- The bid–ask spread is wide
- There is a sudden price movement or price gap
Market Price Protection (MPP) is a safeguard that helps reduce the risk of your market order being executed at an unfavourable or significantly different price.
MPP applies a predefined protection range to the order. This range is determined using the applicable MPP percentage for the exchange, segment, instrument type, and price band.