Financial Terms

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Liquidity

Reflects the ability to quickly convert one asset to another (including cash) at fair market value. Accordingly, highly liquid assets, such as certain types of currencies, are easy to exchange, while illiquid assets, such as physical assets, are difficult. Also, liquidity always depends on supply and demand.

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Risk warning: Trading on financial markets carries risks. The value of the investments can both increase and decrease and the investors may lose all their investment capital. In case of a leveraged product, the loss may be more than the initial capital invested. Detailed information on risks associated with trading on financial markets can be found in General Terms and Conditions for the Provision of Investment Services.