Mr Potato Head I Made you! Theres no batteries in my back. I show you iggas how I move (Move Echo). 50 aint gangsta. Lloyd Banks aint gangsta. Yayo aint gangsta. Young Buck you know you aint gangsta. (Phat Rat talks). G-G-G-G-G....
Liquid assets are accounts or securities that can be easily converted to cash at little or no loss of value. These include cash, money in bank accounts, money market mutual funds, and US Treasury bills. Actively traded stocks, bonds, and mutual funds are liquid in the sense that they are easy to sell, but the price is not guaranteed and could be less than the amount you paid to buy the asset. In contrast, selling fixed assets, such as real estate, usually requires time and negotiation.
An asset, such as a security, is said to be liquid when it can easily be converted to cash. If most stockholders want to sell when company news is bad or buy when it is good, the share value would suffer wild fluctuations as sell and buy prices are driven rapidly down or up.