Encyclopedia of Investment Terminology

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Fat Finger Error

A fat finger error is a computer error or human error that can cause investments to become larger than needed. This can add to the costs or risks that can be involved with a transaction. An example of this took place in 2005 when a trader in Japan tried to sell only one share in J-Com but ended up trying to sell more than half a million shares. This type of error can easily disrupt trading.

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