What Is Liquidity?
Liquidity refers to the efficiency or ease with which an asset or security can be converted into ready cash without affecting its market price. The most liquid asset of all is cash itself. Consequently, the availability of cash to make such conversions is the biggest influence on whether a market can move efficiently.
The more liquid an asset is, the easier and more efficient it is to turn it back into cash. Less liquid assets take more time and may have a higher cost.
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🔴 In this video - #padhakulog
Teacher's Name - CS Payal Popli
Topic - Meaning of Liquidity #liquidity
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