Liquidity

The quality of being easily turned into cash. This can depend on the nature of the instrument; Treasury bills, short-term debt issued by the American government, are cash-like instruments. Or it can depend on the volume of trading in the market; government bonds are easier to sell quickly than debt issued by a small company. In times of crisis, investors tend to have a strong preference for liquidity; when asset markets are booming, illiquid assets seem more attractive. See liquidity trap.