Non-deliverable option (NDO) - Financial definition
Concise definition of the term non-deliverable option
A non-deliverable option is an option for which the underlying asset cannot be delivered. Settlement at maturity is made in cash instead.
Comprehensive definition of the term non-deliverable option
An example would be a non-deliverable currency option, which is settled by a net cash payment, rather than delivery of the underlying foreign currency, generally because one of the currencies is not convertible.