(1) Negotiable means the description of the price when it is or can be flexible depending on other conditions. All sold goods or services may have negotiable or fixed prices, and it depends on the sales strategy of the seller. Usually, small scale goods and services have fixed prices, while prices of expensive items as cars normally can be negotiated.
Others say that everything is negotiable. But it is not completely true in investment. Maybe everything is negotiable in M&A markets where large deals and huge money takes a place and discounts are inevitable; but it is different situation in retail investment market. Of course, very large clients can easily negotiate the commission fees for a trading account, load fees or investment management fees for the mutual fund or personal portfolio, but no one can negotiate the price of mutual fund unit which is calculated as NAV and cannot be changed for anyone. Stock price in the stock exchange is also not negotiable (although it might be in over-the-counter market) and it depends purely on the equilibrium between demand and supply, and as most of the trades are completed in computers there is no even a possibility to negotiate.
(2) Negotiable securities are called those securities that can be legally traded (or transferred without remuneration) and its ownership can be resettled between the persons that are selling or buying those securities. All securities are worth nothing if their value is not legally confirmed. If security maintains its value when is given or sold to another party, then it is a negotiable security.
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