What does a best efforts order entail?

A best efforts order involves the broker making a reasonable effort to execute the order at the best available price but does not guarantee execution at that price. This means the broker will attempt to wait for a better price before executing the trade, as long as market conditions allow for such price improvement. The nature of a best efforts order focuses on achieving the most favorable execution possible, rather than executing the order immediately or at a specific price.

In contrast, the other options imply either a lack of price consideration or put restrictions on the execution process that do not align with the nature of a best efforts order. For instance, executing at any price without consideration would neglect the broker's responsibility to seek a favorable execution. Mandating that the order must be filled at market price would instead define a market order, which contradicts the essence of a best efforts approach. Lastly, stating that the broker cannot cancel the order once placed implies a commitment that does not reflect the typical flexibility that exists in managing best efforts orders.