Immediate or cancel
An immediate or cancel (IOC) order, also known as an "accept order",{{cite web|last=Tatum|first=Malcolm|title=What Does "Immediate or Cancel" Mean?|url=http://www.wisegeek.com/what-does-immediate-or-cancel-mean.htm|publisher=wiseGEEK|accessdate=22 March 2013}} is a finance term used in investment banking or securities transactions that refers "an order to buy or sell a stock that must be executed immediately". In case the entire order is not available at that moment for purchase a partial fulfillment is possible, but any portion of an IOC order that cannot be filled immediately is cancelled, eliminating the need for manual cancellation.{{cite web|title=Immediate-Or-Cancel Order|url=https://www.sec.gov/answers/iocord.htm|publisher=U.S. Securities and Exchange Commission|accessdate=22 March 2013}}{{Cite book|url=https://books.google.com/books?id=noJ1TiqHbOYC&dq=Immediate+or+cancel&pg=RA2-SA5-PA19|title=Financial Services|last=Khan|first=M. Y.|publisher=Tata McGraw-Hill Education|year=2004|isbn=978-0-07-058585-0|location=New Delhi, India|pages=15.19|language=en}} This "partial fulfillment" aspect is what differentiates IOC orders from all or none (AON) and fill or kill (FOK) orders, but the terms might be used interchangeably in some markets.{{Cite book|url=https://books.google.com/books?id=6N7vc7skff4C&dq=Immediate+or+cancel&pg=PA66|title=The Forbes / CFA Institute Investment Course: Timeless Principles for Building Wealth|last1=Janjigian|first1=Vahan|last2=Horan|first2=Stephen M.|last3=Trzcinka|first3=Charles|publisher=John Wiley & Sons|year=2011|isbn=978-0-470-94924-5|location=Hoboken, NJ|pages=66|language=en}}{{Cite book|url=https://books.google.com/books?id=Rd9hDRR1Yx4C&dq=Immediate+or+cancel&pg=PA83|title=Trading and Exchanges: Market Microstructure for Practitioners|last=Harris|first=Larry|publisher=Oxford University Press|year=2003|isbn=978-0-19-514470-3|series=Financial Management Association Survey and Synthesis Series|location=Oxford and New York|pages=83|language=en}}
Benefits
It is considered a "clean, quick, and easy way to acquire securities or goods [that] can save time and money" and the "chances of receiving at least a portion of the order within the time frame required is very good".
IOC orders are generally employed when ordering "large quantities of stock".{{cite web|title=Extreme Orders for Everyday Investors|url=http://research.scottrade.com/public/knowledgecenter/knowhownews/intheknow.asp?nlid=633ec37e00b5404eba061447da9b5b34|publisher=Scottrade Knowledge Center|accessdate=22 March 2013|date=May 2009}} The term is also used to describe an order for goods, especially when vendors are concerned that "not all items and quantities can be honored within the amount of time required by the customer". Placing an IOC order allows them to fill the order incrementally.
See also
- All or none (AON) orders
- Fill or kill (FOK) orders