Negotiable

DEFINITION of 'Negotiable'

1. Describing the price of a good or security that is not firmly established.

2. Describing a good or security whose ownership is easily transferable from one party to another.

BREAKING DOWN 'Negotiable'

1. You will often hear the term "negotiable" in reference to the purchase price of a particular good. The term states that the asking price is not set in stone and can be adjusted depending on the circumstance.

2. Most securities are negotiable, which means that they can be easily transferred from one party to the next, provided all proper documentation is included.

An example of a negotiable instrument would be a certificate of deposit. These can be easily bought and sold between different parties.

Also known as "marketable", "transferable" or "un-registered".

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