In trading, a “fill” refers to the execution of an order. When you place a trade to buy or sell a security, the trade is considered “filled” when it has been fully executed. That means all shares or contracts you wanted to buy or sell have been transacted at the desired or accepted prices.
There are different ways an order can be filled:
- Immediate or Cancel (IOC): The order is filled as soon as possible at the specified price or better. Any portion of the order that cannot be filled immediately is cancelled.
- Fill or Kill (FOK): The entire order must be executed immediately at the specified price or better. If this is not possible, the entire order is cancelled.
- Good ‘Til Cancelled (GTC): The order remains open until it is either filled or cancelled.
- Day Order: The order is cancelled if it is not filled by the end of the trading day.
- Market Order: The order is filled at the best available price in the market at the moment.
- Limit Order: The order is filled at a specific price or better. If the market never reaches this price, the order may not be filled.
The terminology can vary slightly depending on the market (stocks, options, futures, forex, etc.), but the basic concept remains the same: a “fill” is the completion of a trade.