delivery versus payment

delivery versus payment definition - finance
The delivery of the underlying instrument for a futures or options contract made in exchange for the receipt of payment. That system is in contrast to delivery versus receipt, where delivery is made in exchange for a signed receipt for the securities.

Webster's New World Finance and Investment Dictionary Copyright © 2003 by Wiley Publishing, Inc., Indianapolis, Indiana.
Used by arrangement with John Wiley & Sons, Inc.

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