How finance folk use it
In stock trading, the board lot is the minimum number of shares of a certain company that you can buy or sell. It is determined by the market price of one share.
| Price | Board lot (minimum number of shares) |
| P0.0001 - P0.0099 | 1 million |
| P0.01 - P0.049 | 100,000 |
| P0.05 - P0.249 | 10,000 |
| P0.25 - P0.495 | 10,000 |
| P0.50 - P4.99 | 1,000 |
| P5 - P9.99 | 1,000 |
| P10 - P19.98 | 100 |
| P20 - P49.95 | 100 |
| P50 - P99.95 | 10 |
| P100 - P199.90 | 10 |
| P200 - P499.80 | 10 |
| P500 - P999.50 | 10 |
| P1,000 - P1,999 | 5 |
| P2,000 - P4,998 | 5 |
| P5,000 and up | 5 |
Is it good or bad?
The board lot lets you estimate how much you’ll actually have to spend to invest in shares of a certain company. Just take the market price of the share, use it to determine the lot size, then multiply the price by the number of shares.
For example, if the stock of company X is currently offered at P20, you would need to buy at least 100 shares of that company.
What it means for you
Knowing the current price of a company’s stock also lets you know the minimum number of shares you’ll have to buy to invest in it. This helps you plan your purchase better.
