A term often used to describe an option because of its limited life. Shortly before its expiration, an out-of-the-money option has only time value, which declines rapidly. For an in-the-money option, only intrinsic value is left upon expiration. For futures options, this is either automatically exercised or cashed out. At the end of its life, an option that has no intrinsic value becomes worthless; i.e., it wastes away. The CENTER ONLINE Futures Glossary
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An asset that has a limited life and thus decreases in value (depreciates) over time. Also applies to consumed assets, such as oil or gas, and termed "depletion."
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wasting asset UK US noun [C] ACCOUNTING, FINANCE
► an asset, such as an investment or a piece of equipment, that will continue to lose value over time: »
Property leases with less than 50 years to run are seen as wasting assets.
Financial and business terms. 2012.