What is DELIVERABLE ASSET

The specific type and quality of a financial or physical ASSET that can be delivered under the terms of an EXCHANGETRADED DERIVATIVE. Many contracts provide the selling party with the ability to select from a range of deliverable assets. Also known as DELIVERABLE GRADE. See also CHEAPEST TO DELIVER, CONVERSION FACTOR . DELIVERABLE GRADE See DELIVERABLE ASSET . DELIVERY The physical provision of an ASSET underlying a financial contract, generally associated with EXCHANGETRADED DERIVATIVES (though also applicable to certain OVERTHECOUNTER DERIVATIVES, particularly those involving commodities ). The selling party typically announces its intent to make delivery through a delivery note , which provides details regarding the asset and location.