illiquid Hear it!

illiquid definition - finance
  1. An investment that canÂ’t be quickly converted into cash. Such investments include limited partnerships, real estate, or investment into securities or debt of a company that is thinly traded or which doesnÂ’t trade on major exchanges.
  2. A company that doesnÂ’t have sufficient cash flow to pay its interest charges and expenses.

Webster's New World Finance and Investment Dictionary Copyright © 2003 by Wiley Publishing, Inc., Indianapolis, Indiana.
Used by arrangement with John Wiley & Sons, Inc.

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