liquid assets


Also found in: Dictionary, Thesaurus, Legal, Encyclopedia, Wikipedia.

Liquidity

Easy convertibility into cash. A liquid asset or security can be easily bought or sold with little or no impact on price. Most methods of counting money supply include some highly liquid investments such as certificates of deposit. Liquid assets and investments are highly desirable as they may be sold to allow an investor to enter other investments as they arise. On exchanges, liquid investments usually have low bid-ask spreads. See also: Illiquid, Liquidity preference hypothesis.

liquid assets

those CURRENT ASSETS which are held in the form of cash, or assets which can be quickly converted into cash, notably DEBTORS but not STOCK. A company's liquid current assets show how much it could quickly raise in cash to meet the immediate demands of its CREDITORS if they were all to press for prompt payment.
References in periodicals archive ?
Liquid assets remained fairly steady overall although net liquid assets fell to a low level.
To achieve these two objectives, the Central Bank requires banks to comply with the prescribed the Eligible Liquid Assets Ratio (ELAR); or move to the Liquidity Coverage Ratio (LCR) as and when approved by the central bank.
The launch comes as new regulations, such as Basel III and Dodd Frank, require market participants to hold more liquid assets, closely monitor their liquidity ratios and anticipate the evolution of their liquidity positions.
7, there is currently only one asset that meets the eligibility criteria for inclusion in the liquid assets buffer of any of the 22 IFIs operating in the UK in which a Shari'ah-compliant firm may invest: Sukuk issued by the designated multilateral development bank, the Islamic Development Bank (Moody's: a; Standard & Poor's: A).
Specifically, the first rule mentioned does not apply to liquid assets held by an "investment company.
The Bank's VR reflects its steady earnings, strong asset quality ratios, and solid stock of liquid assets.
The court offered several instances of public high technology companies that had either failed or were having difficulty due to market risks associated with the industry; in light of this business environment, it was not surprised that certain corporations might have net liquid assets in excess of E&P.
The CBUAE said, "This is an interim measure to ensure banks hold sufficient liquid assets until Basel III LCR comes into effect on 1 January 2015.
Includes the aggregate liquid assets of individuals with more than USD60k (EUR50k) distributed across liquid asset bands
The total onshore liquid assets held by affluent individuals in Sweden are expected to increase with a compound annual growth rate (CAGR) of 8% over the 2008-2012 period.
The total onshore liquid assets held by affluent individuals in Greece are expected to increase with a compound annual growth rate (CAGR) of 10.
The total onshore liquid assets held by affluent individuals in Germany are expected to increase with a compound annual growth rate (CAGR) of 3.