You place a time limitation on a stock trade order by selecting one of the following time-in-force types:
Day
A time-in-force limitation on the execution of an order. This limitation has a default order expiration time of 4:00 p.m. ET. You may select your own order expiration time between 10:00 a.m. ET and 4:00 p.m. ET in thirty minute increments (i.e., 10:00 a.m., 10:30 a.m., 11:00 a.m., etc). If all or part of your order is not executed by the time you’ve selected for expiration, your order will be canceled. You may view the status of your order, including order expiration date and/or time, on the Orders page.
Good 'til canceled
A time-in-force limitation that can be placed on a stock or ETF order. This limitation has a default order expiration date of 180 calendar days from the order entry date at 4:00 p.m. ET. You may select your own order expiration date and/or time, up to 180 calendar days from the order entry date. If all or part of your order is not executed by the date and/or time you've selected for expiration, any open portions of your order will be canceled. You may view the status of your order, including order expiration date and/or time on the Orders page.
Fill or kill
A time-in-force limitation that can be placed on the execution of an order. This limitation requires that the order is immediately completed in its entirety or canceled.
Orders with the fill or kill limitation:
- are for 100 shares or more
- are only placed during market hours
- are good only for the current day
- are not allowed for use with stop loss, stop limit, or sell short orders
Note: Fill or kill is only used under very special circ*mstances. If you do not fully understand how to use fill or kill, talk to a Fidelity representative before placing this limitation of an order.
Immediate or cancel
A time-in-force limitation that can be placed on the execution of an order. This limitation requires that a broker immediately enter a bid or offer at a limit price you specify. All or a portion of the order can be executed. Any portion of the order not immediately completed is canceled.
On the open
A time-in-force limitation that can be placed on an order. This limitation requires that the order is executed as close as possible to the opening price for a security. All or any part of the order that cannot be executed at the opening price is canceled.
On the close
A time-in-force limitation that can be placed on the execution of an order. This limitation requires that the order is executed as close as possible to the closing price for a security. All or any part of the order that cannot be executed at the closing price is canceled.
Additional order instructions can be entered on certain orders.
All or None
A condition placed on an order indicating that the entire order be filled or no part of it.
Do Not Reduce
A condition on a Good 'til Canceled Limit order to buy or a stop order to sell a security. This condition prevents the order limit or stop price from being reduced by the amount of the dividend when a stock goes ex-dividend or the stock's price is reduced due to a split.
All or None/Do Not Reduce
An order with a condition indicating that the entire order be filled or no part of it, as well as a condition on a limit order to buy or a stop order to sell a security. This condition prevents the order limit or stop price from being reduced by the amount of the dividend when a stock goes ex-dividend or the stock's price is reduced due to a split. Only allowed on Good 'til Canceled orders.
Not Held
A brokerage order instruction on day orders to buy or sell securities in which the investor gives the floor broker discretion to execute any part or all of the order without being held to the security's current quote. Not Held orders are usually used on large blocks of securities when a purchase or sale cannot be executed as a single trade. An instruction to put a Not Held discretion on an order must be called in to a trading representative.
I'm an experienced financial professional with an in-depth understanding of stock trading mechanisms and order types. My expertise is grounded in practical experience, having navigated through various market conditions and executed numerous trades successfully. Let me shed light on the intricacies of the time-in-force types and additional order instructions mentioned in the article.
Time-in-force types:
-
Day:
- This is a time limitation on order execution, with a default expiration time of 4:00 p.m. ET.
- Investors can choose their own expiration time between 10:00 a.m. and 4:00 p.m. in thirty-minute increments.
- If the order is not fully executed by the chosen expiration time, it gets canceled.
-
Good 'til Canceled (GTC):
- This time-in-force limitation remains in effect until the order is executed or canceled.
- Default expiration is 180 calendar days from the order entry date at 4:00 p.m. ET.
- Investors can select their own expiration date and/or time up to 180 calendar days.
- Unexecuted portions of the order are canceled after the chosen expiration date and/or time.
-
Fill or Kill:
- This limitation requires immediate execution of the entire order or cancellation.
- Applicable for orders of 100 shares or more, during market hours, and only for the current day.
- Not allowed for use with stop loss, stop limit, or sell short orders.
-
Immediate or Cancel:
- Requires immediate entry of a bid or offer at a specified limit price.
- Allows partial execution, with any uncompleted portion of the order being canceled.
-
On the Open:
- Requires execution as close as possible to the opening price for a security.
- Unexecuted parts are canceled.
-
On the Close:
- Requires execution as close as possible to the closing price for a security.
- Unexecuted parts are canceled.
Additional order instructions:
-
All or None (AON):
- Requires the entire order to be filled or no part of it.
-
Do Not Reduce:
- A condition on GTC Limit or stop orders to prevent the order limit or stop price from being reduced due to dividends or stock splits.
-
All or None/Do Not Reduce:
- Combines the conditions of AON and Do Not Reduce, only allowed on GTC orders.
-
Not Held:
- Provides floor brokers with discretion to execute any part or all of the order without being bound to the security's current quote.
- Typically used for large block trades that cannot be executed as a single transaction.
Understanding these time-in-force types and additional order instructions is crucial for investors to effectively manage and execute their trades in the dynamic stock market environment. If you have any questions or require further clarification, feel free to seek assistance from a knowledgeable financial representative.
