Economics · Financial Instruments

In financial terms, what does it mean for a security to be 'negotiable'?

Verified Solution4 OptionsUpdated: October 2026👁️1 View

1The legal title of the security can be transferred to another party by delivery or endorsement✓
2The price of the security is subject to bargaining between buyers and sellers on an exchange
3The security is guaranteed against default by a central financial regulatory authority
4The maturity date of the instrument can be altered by mutual agreement

Correct answer

The legal title of the security can be transferred to another party by delivery or endorsement

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