What does Cash Settlement mean?

Cash Settlement meaning in Finance Dictionary

Discounts on an exchange in which people are obliged to be in straight away as opposed to on account. An expression found in futures and trading options which applies when real distribution is impractical or unwelcome and contracts tend to be satisfied by affixing a monetary worth.

Cash Settlement meaning in Law Dictionary

the entire process of exchanging money as opposed to physical products to be in a futures or alternative contract. This process can be used by financial instruments.

Cash Settlement meaning in Business Dictionary

A process for which a futures or choice agreement is settled with an exchange of money rather than the distribution regarding the physical product. Financial devices make use of a cash settlement procedure.