ANZ

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    Financial Dictionary

    Dictionary Home The Language of Money - Edna Carew
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    Negotiable instrument

    A piece of paper representing ownership of debts and obligations. The ownership is passed on with the delivery, or endorsement and delivery, of the piece of paper. Negotiable instruments traded in the money market include bills of exchange, promissory notes and certificates of deposit, which are written orders promising to pay a specified sum of money at a predetermined time to the order of a specified person or bearer.

    Important notice