cancellation

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Cancellation

A notice by a broker to a client that the broker has made a mistake and has taken steps to rectify it. For example, if a client makes an order to buy 1,000 shares and the broker mistakenly buys 2,000, he/she must sell the extra 1,000 shares and bear any losses himself/herself. Afterwards, the broker must inform the client of what has transpired and provide full documentation. This ensures that the broker simply made a mistake and was not trading maliciously or improperly.

cancellation

A broker's notice to a customer that an erroneous trade credited to the customer has been voided. For example, if a brokerage firm mistakenly purchases 200 shares of stock for an account when the customer has entered an order for only 100 shares, the firm will send the customer a cancellation for the 200-share trade to void the original confirmation and then will send a new confirmation showing the correct trade.
References in periodicals archive ?
Present study found cancelation rate 7.6% in Makkah region hospitals.
The present study found 7.6% cancelation rate in Makkah region hospitals and there were 27 different reasons for cancellation of the operations, and three most common causes for cancellations were patient's related, facility related and improper work-up.
Surgery cancelation on the day of surgery in same-day admission in a finnish hospital.