#Liquidity101
Liquidity refers to how quickly and easily an asset can be converted into cash without affecting its market price. Think of it as financial flexibility.
💵 Cash is the most liquid asset.
🏠 Real estate is much less liquid—it takes time to sell.
📈 Stocks are somewhere in between—they can be sold quickly, but prices can fluctuate.
In business or investing, more liquidity = more agility. It’s key for managing risk, meeting short-term obligations, and seizing opportunities fast.
Know your liquidity—it's the difference between staying afloat and sinking.
#FinanceBasics #InvestSmart #FinancialLiteracy