FOK Order

What Is a FOK Order?

An order to purchase or sell a stock that must be fully executed right away is known as a fill-or-kill order to avoid having the entire order canceled. 

A conditional time-in-force order known as a "fill or kill" (FOK) orders a brokerage to execute a transaction entirely and quickly, or not at all. Active traders use this order most frequently, typically involving a significant amount of stock. The order must be completed in full, or it will be canceled (killed).

How Does FOK Work?

A fill or kill (FOK) order is a conditional order that demands that the transaction is carried out immediately and in its entirety at the specified price. Any requirements must be met before the order can be automatically canceled (killed). Brokers typically use the FOK sale to buy big blocks of stock or crypto at predetermined prices and times.

When a trader doesn't want to accept partial delivery of assets, fill or kill orders are frequently used. For example, when they must serve their orders quickly on separate and unrelated marketplaces or exchanges. So they could create many orders and wait for one to be entirely performed without worrying about getting partial fills if they used a FOK order. The trader can cancel the other orders once one order has been filled.

The FOK order in all investments, including cryptocurrencies, is widely used. Investors often use this method to get the most lucrative deals.