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Natali Sanchez Sosa (Student)
on Dec 02, 2024

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Liquidity risk refers to the chance that an investor will incur a loss because it's hard to sell the bond of a company that isn't well known.

Liquidity Risk

The risk that an asset cannot be sold or converted into cash quickly enough to meet short-term financial obligations without a significant loss in value.

Bond

A fixed income instrument that represents a loan made by an investor to a borrower (typically corporate or governmental) which pays periodic interest payments and the return of the principal at maturity.

  • Discern among assorted risk forms such as default risk, liquidity risk, and market risk.
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Jaspreet MaheyDec 05, 2024
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