Liquidity

RECENT NEWS
Reuters  Apr 5  Comment 
India's banking system liquidity is expected to be in "moderate surplus mode" in the first half of 2018/19, the central bank's Deputy Governor Viral Acharya said on Thursday after the bank's monetary policy meeting.
MarketWatch  Apr 3  Comment 
Tesla shares surge after the electric car maker reported first-quarter production results that missed expectations, but said it would not need to raise more money this year given the progress made during the quarter.
SeekingAlpha  Apr 3  Comment 
Wall Street Journal  Apr 1  Comment 
U.S. regulators are willing to spare money managers from telling shareholders more details about their holdings in hard-to-sell assets. But they still want to see that information for themselves.
MarketWatch  Mar 27  Comment 
Moody's Investors Services late Tuesday downgraded Tesla Inc. corporate debt rating to B3 from B2, one notch further down on its junk-bond rating, saying the Silicon Valley car maker "will have to undertake a large, near-term capital raise in...
Mondo Visione  Mar 27  Comment 
big xyt, the independent provider of high-volume, smart data and analytics capabilities, is pleased to announce the addition of enhanced functionality on its Liquidity Cockpit dashboard, providing greater transparency on over-the-counter (OTC)...
The Economic Times  Mar 17  Comment 
Nifty bounced to test lower trend channel thereafter, resuming the downward journey.
Mondo Visione  Mar 14  Comment 
Al Ramz Capital, a subsidiary of Al-Ramz Corporation Investments and Developments PJSC, has been re-appointed as a Liquidity Provider for Union Properties Shares after obtaining the necessary approvals from Dubai Financial Market and signing the...




RELATED WIKI ARTICLES

Related Articles

 
TOP CONTRIBUTORS

Liquidity

Liquidity is defined as the ability to trade large size quickly at a low cost. It is one of the most important characteristics of a market. A liquid market allows traders to implement their strategies cheaply, normally with a limited bid/ask spread. A liquid market is characterized by high volume. It is generally less volatile than an illiquid market.

Usually, you can refer to three dimensions of liquidity - time, size and cost:

• “Immediacy” refers to how quickly you can execute a trade of a given size at a given cost.

• Width refers to the cost of executing a trade of a given size, including commissions.

• Depth refers to the size of a trade that can be executed at a given cost. Width and depth are very strictly related.

A liquid market is a market where you can trade large size quickly at low cost. Liquidity refers to how quickly you can convert your assets into cash. [1] Liquidation is the conversion of assets into cash by an Investor getting rid of a position in a particular type of security. [2]

For example, a portfolio manager might decide to liquidate a position in a stock by selling all the shares of that stock held in the portfolio. [3]

1610s, from liquidus. [1] Liquid Financial sense of "capable of being converted to cash" is first recorded 1818. [2]

References

  1. Stock Investing for Dummies‬ By Paul Mladjenovic pg22 ISBN-10: 0470401141
  2. Wall Street Words: An A to Z Guide to Investment Terms for Today's Investor by David L. Scott Accounting Professor ISBN-10: 0618176519 pg 212
  3. Wall Street Words: An A to Z Guide to Investment Terms for Today's Investor by David L. Scott. Copyright © 2003 by Houghton Mifflin Company. Published by Houghton Mifflin Company. ISBN-10: 0618176519 pg212

4. http://www.bestcashloans.org.uk/

Wikinvest © 2006, 2007, 2008, 2009, 2010, 2011, 2012. Use of this site is subject to express Terms of Service, Privacy Policy, and Disclaimer. By continuing past this page, you agree to abide by these terms. Any information provided by Wikinvest, including but not limited to company data, competitors, business analysis, market share, sales revenues and other operating metrics, earnings call analysis, conference call transcripts, industry information, or price targets should not be construed as research, trading tips or recommendations, or investment advice and is provided with no warrants as to its accuracy. Stock market data, including US and International equity symbols, stock quotes, share prices, earnings ratios, and other fundamental data is provided by data partners. Stock market quotes delayed at least 15 minutes for NASDAQ, 20 mins for NYSE and AMEX. Market data by Xignite. See data providers for more details. Company names, products, services and branding cited herein may be trademarks or registered trademarks of their respective owners. The use of trademarks or service marks of another is not a representation that the other is affiliated with, sponsors, is sponsored by, endorses, or is endorsed by Wikinvest.
Powered by MediaWiki