A definite price on a round-lot bid or offer declared by a market maker on a given security and not identified as a nominal quotation (therefore is not negotiable).
When a buyer or seller requests a firm quote, the dealer provides a bid and ask quote that can be immediately executed if the buyer or seller wishes. See Indicative Quote.
A quote provided by a dealer that obligates the market maker to trade a minimum of 100 shares (one round lot) based on the information provided. See: Backing Away.
A quote whose price is guaranteed. That is, market participants are obliged to deal at the displayed prices or volumes, when their quotes are firm. Firm quotes are displayed during the mandatory quote period.
A quote by a market maker for a security which requires the market maker to purchase or sell a round lot of the security at the quoted bid or offer. This is in contrast to a nominal or subject quote which may require further negotiation or review and must be identified as such. See: Market Maker; Nominal Quotation; Round Lot; Subject
A firm quote is a bid or ask price for a round lot of a security (stocks sold in multiples of 100, for example) that a market maker will honor without further negotiation. For example, if the market maker posts an ask price of 42 12, an order to buy at that price will be filled from the market maker's inventory.
A market-maker's quote which is a price which he/she is committed to deal.