On Friday, the NFL announced that 15 teams would receive 32 compensatory selections in the 2018 NFL Draft. The Indianapolis Colts were not one of those teams.
A compensatory selection is a pick awarded to a team by the NFL and it can now be traded, as of 2017. The picks are awarded based on a formula that factors in the salary, playing time and awards/honours of a free agent(s) that a team lost in the previous offseason.
The NFL also factors in the players that a team signs in the previous offseason.