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liquidate definition - finance
  1. To sell all of a businessÂ’s assets and close down the business. An involuntary liquidation is called a Chapter 7 bankruptcy.
  2. To close a brokerage account and sell its stocks and investments.
  3. To close open futures and options positions. If futures are owned, an equivalent amount is sold to liquidate a position. If futures have been sold short, then the equivalent position is bought to liquidate a position.

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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