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Investments glossary

Fail


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Quotes of the day:

Everyone can get the gold of the Sun. (Tout le monde cueille l\'or du soleil)

— Charles de LEUSSE

In common trading terms, a fail occurs if a seller does not deliver securities or a buyer does not pay owed funds by the settlement date. Through a stock exchange, this occurs if a stockbroker does not deliver or receive securities within a specified time after a security sale or a security purchase. When a seller cannot deliver the contracted securities, this is called a short fail. If a buyer is unable to pay for the securities, this is called a long fail.


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