All or none

This article is about the finance term. For the physiological principle, see All-or-none law.

All or none (AON) is a finance term used in investment banking or securities transactions that refers to "an order to buy or sell a stock that must be executed in its entirety, or not executed at all".[1] Partial execution is not acceptable; the order will execute "only if there are enough shares available in a single transaction to cover it".

An all-or-none clause in an underwriting contract or investment prospectus gives a securities issuer the right to cancel an issue in its entirety if the underwriting is not fully subscribed.[2]

AON orders are similar to fill or kill (FOK) orders, but the former focuses on "complete vs. partial fulfillment", whereas the latter hinges on the immediacy of the transaction.[3]

  1. ^ "All-Or-None Order". Answers. U.S. Securities and Exchange Commission. Retrieved 22 March 2013.
  2. ^ "What is All-Or-None Order?". Black's Law Dictionary, Free Online Legal Dictionary, 2nd Ed. 6 October 2012. Retrieved 22 March 2013.
  3. ^ "Extreme Orders for Everyday Investors". Scottrade Knowledge Center. May 2009. Retrieved 22 March 2013.