Forschungsjournal für Wirtschaftswissenschaften

Act of Exiting a Long Position in an Asset or Security

Ishmael Mugari

The term sell refers to the process of liquidating an asset in exchange for cash. Liquidation is a term used to describe the conversion of nonliquid assets, such as real property, stocks, or bonds, into a liquid property, such as cash, through an exchange on the open market. For example, your house is a non-liquid asset, but when you sell it, you convert it into a liquid asset in the form of cash. A sale performed by a government may be referred to as a disinvestment