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What is Liquidity?

July 6, 2021 By James Rabinovich Leave a Comment

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What is Liquidity?

Liquidity can have two meanings.

1. In financial markets, liquidity refers to how quickly an investment can be sold without negatively impacting its price.

2. The amount of short-term liquid assets a bank holds against its liabilities ensures that it will not be insolvent.

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James Rabinovich
James Rabinovich
James Rabinovich
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