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Glossary > U > "Underlying" Definition

Underlying

The something that the parties agree to exchange in a derivative contract.

1. In derivatives, the security that must be delivered if the contract is exercised.

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Underlying - The something that the parties agree to exchange in a derivative contract.

1. In derivatives, the security that must be delivered if the contract is exercised.

Underlying : the something that the parties agree to exchange in a derivative contract.

1. in derivatives, the security that must be delivered if the contract is exercised.