#Liquidity101 Liquidity is a measure of how easily an asset can be bought or sold without significantly affecting its price. In financial markets, liquidity means having a sufficient number of buyers and sellers, allowing trades to be executed quickly and at fair prices. Highly liquid assets like major stocks or foreign currencies are bought and sold easily, while less liquid assets like real estate may take longer to sell. Liquidity directly affects costs and risks, making it a critical factor for any investor or trader. Understanding liquidity enhances your decisions and reduces surprises. #Liquidity101 Your key to clearer and more efficient markets.