What does it mean that stocks and bonds are relatively liquid?
A. They are easier to buy and sell than other forms of investment.
B. They tend to go up and down in value.
C. The amount of income they can bring changes frequently.
D. There are more of them to choose from than other forms of investment.
Answer (1)
Stocks and bonds are considered relatively liquid because they can be easily bought and sold in the market. This ease of transaction is mainly due to the active markets they operate in, allowing for quick exchanges. Overall, liquidity is a key reason why investors favor these assets over less liquid investments. ;
