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liquidity

noun

Simple meaning

An asset's property of being able to be sold without affecting its value.

Pronunciation

Say it like this:

lihkwiduhtee

Say the bold part a little louder.

US device voice
IPA pronunciation (US)

lɪkˈwɪdəti

This word is pronounced essentially the same in American and British English, so one transcription covers both.

IPA (International Phonetic Alphabet) is a standard way of writing speech sounds.

Word Review

Definition

Everyday modern meanings first, grouped by part of speech.

noun

  1. economicscountable

    An asset's property of being able to be sold without affecting its value; the degree to which it can be easily converted into cash.

  2. finance

    Being in cash or easily convertible to cash; debt paying ability

  3. finance

    The degree of which something is in high supply and demand, making it easily convertible to cash.

  4. finance

    Availability of cash over short term: ability to service short-term debt.

  5. uncountable

    The state or property of being liquid.

Word Aura™

How this word commonly comes across.

Aura for this meaning

This meaning: An asset's property of being able to be sold without affecting its value; the degree to which it can be easily converted into cash.

Used this way, liquidity is a reasonably familiar word that usually carries little praise or criticism of its own. It turns up most in finance or economics contexts.

Emotional tone
Neutral
Formality
Neutral
Intensity
Not strongly marked
How common
Moderately common
Connotation
Matter-of-fact
Usage feel
Neutral and straightforward

Where it naturally appears

  • Finance/economics

Word Aura describes common impressions, not a measurement. Tone changes with sentence, speaker, relationship and situation.

More ways to use liquidity

  • “The company needed to improve its liquidity to pay off short-term debts.”noun

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Dictionary data from Wiktionary via the Free Dictionary API. Simple meanings, combinations and word intelligence are built from verified reference data, no AI is used to load this page.