Liquidity: meaning, definitions and examples
๐ฐ
liquidity
[ lษชหkwษชdษชti ]
financial markets
Liquidity refers to how easily an asset or security can be bought or sold in the market without affecting its price. High liquidity means that an asset can be quickly converted into cash without significant price discount. Liquidity is crucial for efficient functioning of financial markets.
Synonyms
ease of conversion, fluidity, marketability
Examples of usage
- The stock market has high liquidity, with many buyers and sellers trading shares every day.
- Investors prefer assets with high liquidity in case they need to sell quickly to access cash.
Translations
Translations of the word "liquidity" in other languages:
๐ต๐น liquidez
๐ฎ๐ณ เคคเคฐเคฒเคคเคพ
๐ฉ๐ช Liquiditรคt
๐ฎ๐ฉ likuiditas
๐บ๐ฆ ะปัะบะฒัะดะฝัััั
๐ต๐ฑ pลynnoลฤ
๐ฏ๐ต ๆตๅๆง
๐ซ๐ท liquiditรฉ
๐ช๐ธ liquidez
๐น๐ท likidite
๐ฐ๐ท ์ ๋์ฑ
๐ธ๐ฆ ุงูุณูููุฉ
๐จ๐ฟ likvidita
๐ธ๐ฐ likvidita
๐จ๐ณ ๆตๅจๆง
๐ธ๐ฎ likvidnost
๐ฎ๐ธ vรถruverรฐ
๐ฐ๐ฟ ะปะธะบะฒะธะดััะปัะบ
๐ฌ๐ช แแแแแแแฃแ แแแ
๐ฆ๐ฟ likvidlik
๐ฒ๐ฝ liquidez
Word origin
The term 'liquidity' originated from the Latin word 'liquidus', which means fluid or flowing. In the context of finance, the concept of liquidity has been essential for centuries, dating back to the development of modern financial markets. Liquidity plays a vital role in ensuring the smooth functioning of economies and enables quick transactions in markets.
See also: liquefiable, liquefy, liquidate, liquidation, liquidator, liquidized, liquidizer, liquids.