Related Words

Accounting Liquidity: The ease and quickness with which assets can be converted to cash.

Liquidity Diversification: Investing in a variety of maturities to reduce the price risk to which holding long bonds exposes the investor.

Liquidity Fund: A California company that buys real estate limited partnership interests at 25% to 35% lower than the current value of the real estate assets.

Liquidity Preference Hypothesis: The argument that greater liquidity is valuable, all else equal. Also, the theory that the forward rate exceeds expected future interest rates.

Liquidity Premium: Forward rate minus expected future short-term interest rate.

Liquidity: If you can convert an asset to cash easily and quickly, with little or no loss of value, the asset has liquidity. For example, you can typically redeem shares in a money market mutual fund a . . . View Full Definition

Financial Accounting Standards Board (FASB): The Financial Accounting Standards Board (FASB) is an independent, self-regulatory board that establishes and interprets generally accepted accounting principles (GAAP). It operates under th . . . View Full Definition

Generally Accepted Accounting Principals (GAAP): The sum of taxes, charges, and miscellaneous income taken in at the state and local level while neglecting overlapping revenue which may be erroneously counted twice.

Generally Accepted Accounting Principles (GAAP): Authoritative guidelines that define accounting practice at a particular time.

Inflation Accounting: The rate at which the general level of prices for goods and services is rising.