A-grade (spread <2bps)

Size with confidence. $100k+ orders without meaningful slippage. SPY, QQQ, AAPL, MSFT live here. Best for tactical, fast-rotation, scalping.

B/C grade (2–8 bps)

Workable. Cap orders at the 5-min ADV / 50 rule, scale in across 3–5 prints. Use limit orders. Most large-caps live here.

D/F grade (>8 bps)

Friction zone. Spreads eat alpha. Either size much smaller, route via dark-pool TWAP, or skip. Small-caps, low-floats, OTC ADRs live here.