Skip to main content
Return to homepage
  • Free Trial
  • Free Trial
  • Plans
    • Plans for Individuals
    • Plans for Teams
    • Plans for Clients
    • Plans for Enterprise
  • Solutions
    • Self Educators
    • Small Business
    • Industry Associations
    • Accounting Firms
    • Franchise Groups
    • Finance Brokers
    • Corporations
    • Business Schools
  • More
    • About
    • Features
    • Experts
    • Blog
    • Media
    • Press
    • Contact
  • Support
  • Login
    • Watch
    • Admin

Home Definitions

What is a Liquid Asset? Definition or Meaning

Posted by Bizversity

Don’t you love the metaphors in business terms? Liquid cash refers to assets that can change state easily, in this case, into cash. For an asset to be classified as liquid, it must have an established market where there is no shortage of buyers or sellers, so the asset price cannot be manipulated easily.

For example…

The global foreign exchange market is considered to be the most liquid in the world. As you can imagine, the volume of foreign currency exchanges across the world is huge, contributing to a free flowing stream of cash assets into and out of an economy. As the demand for foreign currency exchange is high, no individual can influence the exchange rate.

Bizversity
Bizversity

  • Facebook
  • YouTube
  • Twitter
  • LinkedIn
  • Instagram

Our Mission is to grow the people that move the world forward. Because business people change things. They learn, they create, they build, they disrupt. And when they do, they influence the people around them and the world becomes a better place. So if you are an entrepreneur, business leader, executive or startup, and you want to grow, welcome to Bizversity.

  • About
  • Blog
  • Features
  • Tutorials
  • Media
  • Press
  • Careers
  • Definitions
  • Questions
  • Support
  • Contact

Copyright © 2023 Bizversity
  • Privacy Policy
  • Disclaimer
  • Terms of Service
  • Website Terms of Use