Time In Force (TIF)
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Day Order: - A day order is an order that expires at the end of the trading day if it is not executed. It is the most common type of TIF and is often used by investors who want to enter or exit a position quickly. -
Good-Til-Cancelled (GTC) Order: - A GTC order remains in effect until the investor cancels it or it is filled. It is often used by investors who want to enter or exit a position over an extended period of time. -
Immediate or Cancel (IOC) Order: - An IOC order must be executed immediately or it is cancelled. It is often used by investors who want to enter or exit a position quickly and do not want to wait for a limit order to be filled. -
Fill or Kill (FOK) Order: - A FOK order must be executed immediately in its entirety or it is cancelled. It is often used by investors who want to enter or exit a large position quickly and do not want to wait for the entire order to be filled over time. -
On the Close (OTC) Order: - An OTC order is executed as close as possible to the market close. It is often used by investors who want to enter or exit a position at the end of the trading day and do not want to wait for the order to be filled during the trading day.