Simplicity with which bondholders and shareholders can change their investments into cash is known?

Question

Simplicity with which bondholders and shareholders can change their investments into cash is known?

barter
hedging
arbitrage
liquidity

LohaHridoy

5 views

2025-01-04 04:42

1 Answers

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AhmedNazir · Accepted Answer · 2022-09-01T13:21:41+06:00

Answer: Option 4

Simplicity with which bondholders and shareholders can change their investments into cash is known as liquidity. Liquidity describes the degree to which an asset or security can be quickly bought or sold in the market at a price reflecting its intrinsic value. In other words: the ease of converting it to cash.