Liquidity

Liquidity describes the availability of buyers, sellers, and prices in a market, which can affect how easily an asset can be bought or sold.

Approved short definition: How easily an asset can be bought or sold. Example: Assets with lower liquidity can be harder to buy or sell at the price you expect. Do not use: Do not use “liquidity” as a synonym for Cash Available, available balance, or Portfolio Value. Liquidity describes how easily an asset can be bought or sold in the market. If a customer uses “liquidity” to mean how much cash they have, normalise the wording to the relevant balance term. Aliases / search terms: Market liquidity, liquidity conditions, available liquidity, liquid asset, liquid assets, liquid market, illiquid market, more liquid, less liquid, low liquidity, high liquidity, trading liquidity, liquidity risk, buyers and sellers, available prices, easy to buy or sell, hard to buy or sell, cash liquidity, account liquidity Related terms: Market Conditions, Trading Volume, Spread, Market Spread, Execution Price, Displayed Price, Order Size, Market Depth, Trading Hours, 24/5 Trading, 24/7 Trading, Volatility, Cash Available, Available Balance