INSTRUMENT

  1. Tradable asset or negotiable item such as commodity, derivative, bond, index, security, or any other item that underpins a derivative. An instrument is something of value that is held, accomplished, or transferred.
  2. Economic factor that can be modified or controlled by government policymakers to attain and maintain the desired result in other economic variables.
  3. A legal document, such as an agreement, contract, deed, or will, that encompasses legal rights or obligations.