adjective
- not easily converted into cash; difficult to sell quickly without significant loss of value
Usage: finance, economics
Examples
- Real estate is considered an illiquid asset because it takes time to sell a property.
- The company faced cash flow problems because much of its wealth was tied up in illiquid investments.
- During the financial crisis, many investors found their illiquid holdings impossible to convert to cash.
- Stocks in small companies can be illiquid if few people want to buy them.
- Art and collectibles are typically illiquid assets that may take months or years to sell.