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Username: BobM

Rating:
Guru Stars

Asked to: Apinya Kamon

Date Created: 22 Sep 2017
Category 17
Tag Financial
Question Please give the definition of 'Cancellation'.
Advice from Guru
Hi BobM,

A cancellation is a notice made by a broker, to his client, informing him an erroneous trade was made and is being rectified. Despite the fact technology is an ever-present and ever-evolving part of daily life, trading mistakes are made, either by human or electronic error, and brokers must correct the mistake immediately, notifying the client of all errors and actions taken to resolve the mistake. Naturally, all transactions and steps taken are recorded to lay out the cancellation and ensure the broker is not mishandling the account.

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