"fairy," late 14c., from Old French fae (12c., Modern French fée), from Vulgar Latin *fata "goddess of fate," fem. singular of Latin fata (neuter plural), literally "the Fates" (see fate (n.)). Adjective meaning "homosexual" is attested from 1950s.
fem. proper name, in some cases from Middle English fei, Old French fei "faith," or else from fay "fairy."