DEFINITION of 'Good This Month - GTM'
A limit order to buy or sell a security that remains in effect until the end of the month in which it was issued. The order automatically fills once the security reaches a predetermined price. The order will expire and be canceled if it has not been filled by the end of the month (usually at the close of the last trading day of the month). Other order types can be used to restrict the length of time that an order can be filled before being canceled, such as good for the day orders (GFD).
BREAKING DOWN 'Good This Month - GTM'
Investors use good this month orders to try to buy or sell a security when it reaches a certain price, within a limited time period. By using this order type, investors can place an order and essentially forget about it until one of two things happen: the order is filled, at which point the investor should receive the appropriate confirmation; or the order is automatically canceled at the end of the month. By having any unfilled orders automatically cancel at the end of the month, investors avoid triggering a position that is no longer desired due to constantly changing market conditions.