What is a call auction?

calling auctions are special types of auctions in which the buyers and seller have the ability to set prices for offered goods and services. With this arrangement, the buyer can issue an order to purchase specific goods at a specific unit price and to receive offers from various retailers. At the same time, sellers can promote goods for sale in a call auction and effectively set a minimum offer that must be met before the item is considered to be a win. The conditions that regulate the auction of the call must be in accordance with the business regulations that apply to the jurisdiction in which the auction takes place.

In many places, calling auctions serves as an alternative to more common access to comparing orders between buyers and sellers. With the comparative process, brokers will try to connect the seller who has an item for a certain price with a buyer who is willing to pay this specific price. On the other hand, calling auction allows buyers and sellers to determine their price, PObntry participate in the bid process to determine which buyers eventually trade, with which sellers.

The menu that takes place with a call auction is usually managed by the submission of what is called the limit commands. In principle, this arrangement allows the seller to limit offers to items offered in the auction only to those that exceed a certain price. At the same time, the limit order can indicate the maximum amount that he is willing to pay. The orders are accepted for the period of time, then evaluated to determine which buyers and the seller move and create an employment contract that regulates the transaction between the two parties.

Call auction concept is usually associated with selling securities such as stocks, commodities or even bond problems. This approach can also be used to manage the sale of other types of inroucha, including real estate, works of art or jewelry. With jAkho application is the idea of ​​providing a platform that has the potential to benefit from both parties and at the same time create a certain degree of stability in terms of any selling price for the goods considered.

While the exact structure of calling auction must be in accordance with valid business regulations, most jurisdictions are considering submitted offers in the form of limiting orders for binding. Failure to meet the offer can lead to serious problems, including disableing buyers in future auctions. For this reason, care should be given to the determination of prices before the decision to submit a limit order.