Business / Taxes / Underlying Instrument: An underlying instrument is a security, such as a stock, a commodity, or other type of financial product, such as a stock index, whose value determines the value of a derivative investment or product. For example, if you own a stock option, the stock you have the right to buy or sell according to the terms of that option is the option's underlying instrument. Underlying instruments may also be called underlying products, underlying interest, or sometimes the underlying investment.
Instrument Noun Synonyms: agency, means, way, factor, mechanism, instrumentality, wherewithal, (prime) mover, catalyst, agent
Instrument Adjective Synonyms: implement, tool, device, apparatus, utensil, appliance, contrivance, mechanism, gadget, contraption, thingumabob, thingumajig, thingummy, thingy, whatsit, what's-its-name, whatnot, what-d'you-call-it, gubbins, gismo or gizmo
Business / Taxes / Underlying Investment: The investments a variable annuity’s separate account fund, a mutual fund, or other fund makes are considered the fund’s underlying investments. The value of a single share or unit of the fund is MORE
Business / Finance / Negotiable Instrument: An unconditional order or promise to pay some amount of money, easily transferable from one party to another. MORE