ShmoopTube

Where Monty Python meets your 10th grade teacher.

Search Thousands of Shmoop Videos


Board of Directors Videos 111 videos

Finance: What are Passive Investing and Passive Investors?
2 Views

What are Passive Investing and Passive Investors? Passive investing and passive investors are ones who opt to ride the market out over the long ter...

Finance: What are Secured Bonds v Unsecured Bonds, and what is Non-Recourse Debt: Debentures (Subordinated and Senior)?
68 Views

When a bond is secured, it means it's protected, i.e. there are assets that would be forfeited if repayment is not made. When it's unsecured... it'...

Finance: What is Liquidity?
64 Views

What is liquidity? Think: water. It's liquid. It can be squeezed into little, tiny spaces and infused into large spaces. A defining trait of liquid...

See All

Finance: What is a Liquid Market? 17 Views


Share It!


Description:

A liquid market is a market featuring high trading volumes, i.e. investors actually want to put their cash to work.

Language:
English Language

Transcript

00:00

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

00:07

that trades Ah lot High volume Lots of buyers Lots

00:11

of sellers Liquid lots of cash sloshing this way In

00:15

that way Go this way and that Did you ever

00:17

see a liquid market go this way and that That

00:20

little song Did you ever see a lassie Never mind

00:23

All right Weir Liquid markets Good Well because they implied

00:26

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

00:29

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

00:31

healthy risk seeking active market versus risk averse one which

00:36

is you know hiding Ah liquid market means that investors

00:40

want to put their cash toe work that they have

00:43

actually saved cash along the way and or that they

00:46

have relatively easy access to credit And you can think

00:49

about it from the perspective of your kindly loving realtor

00:53

who wants a world where lots of people are buying

00:56

homes But in orderto have that happen you have to

00:58

have lots of people who are also selling homes at

01:01

the same time Otherwise prices just go higher and higher

01:04

with no supply to meet demand And at the end

01:06

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

01:08

stock market while the most important thing yes that the

01:11

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

01:15

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

01:18

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

Related Videos

GED Social Studies 1.1 Civics and Government
39794 Views

GED Social Studies 1.1 Civics and Government

Fake News
11938 Views

How do you tell fake news from real news?

Finance: What is Bankruptcy?
260 Views

What is bankruptcy? Deadbeats who can't pay their bills declare bankruptcy. Either they borrowed too much money, or the business fell apart. They t...

Finance: What is a Dividend?
1777 Views

What's a dividend? At will, the board of directors can pay a dividend on common stock. Usually, that payout is some percentage less than 100 of ear...

Finance: How Are Risks and Rewards Related?
589 Views

How are risk and reward related? Take more risk, expect more reward. A lottery ticket might be worth a billion dollars, but if the odds are one in...