The Bond Liquidity Crunch—and What to do about it
When investors ask if an asset is liquid, what they usually want to know is: will they be able to get rid of it quickly, either to realize a profit or avoid a loss? But liquidity isn’t constant. It depends on many factors, from investor sentiment and behavior to market structure and conditions. And over the last few years, changes in all of these elements have combined to drain liquidity from the global bond market.
For Individual Investments-All, ABII-All, Institutions
September 4, 2015