Liquidity Event

  

Categories: Trading, IPO

Like an IPO. It's when you get cash for selling something...not-cash-y.

Sell your home for cash? Liquidity event. Sell your piano for cash? Liquidity event. Barter your John McEnroe classic tennis racket for a set of Jack Nicklaus wedges? Not a liquidity event, because you didn't get cash.

Related or Semi-related Video

Finance: What is a Liquid Market?17 Views

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Finance allah shmoop What is liquid market Well it's one

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that trades Ah lot High volume Lots of buyers Lots

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of sellers Liquid lots of cash sloshing this way In

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that way Go this way and that Did you ever

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see a liquid market go this way and that That

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little song Did you ever see a lassie Never mind

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All right Weir Liquid markets Good Well because they implied

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there's Lots of cash ready willing and able to be

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put to work And that's usually a sign of a

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healthy risk seeking active market versus risk averse one which

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is you know hiding Ah liquid market means that investors

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want to put their cash toe work that they have

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actually saved cash along the way and or that they

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have relatively easy access to credit And you can think

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about it from the perspective of your kindly loving realtor

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who wants a world where lots of people are buying

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homes But in orderto have that happen you have to

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have lots of people who are also selling homes at

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the same time Otherwise prices just go higher and higher

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with no supply to meet demand And at the end

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of the day in real estate and it's in the

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stock market while the most important thing yes that the

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brokers get pays So that's a liquid market one that

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trades a lot like it's Wet trading back and for

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sloshing around not ice Where everything's you know all jammed 00:01:22.109 --> [endTime] up No needs heat or an animal or something

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