Marketable securities are financial instruments that can be easily bought or sold in the financial markets. These include stocks, bonds, and foreign currencies that are actively traded. The term is often used in the context of investments, where these securities can be quickly converted into cash due to their liquidity.
Marketable securities are relevant in various legal contexts, particularly in finance and investment law. They are often involved in transactions related to corporate finance, tax implications, and investment portfolios. Users may encounter legal forms related to the buying, selling, or reporting of these securities, which can be efficiently managed using templates from US Legal Forms.
Here are a couple of examples of abatement:
Example 1: An investor holds shares of a publicly traded company. They can sell these shares on the stock market at any time, making them marketable securities.
Example 2: A corporation issues bonds that are listed on an exchange. Investors can buy or sell these bonds easily, qualifying them as marketable securities.
| Term | Definition | Key Differences |
|---|---|---|
| Marketable Securities | Financial instruments easily traded in the market. | High liquidity and active trading. |
| Non-Marketable Securities | Investments not traded on public exchanges. | Lower liquidity; harder to sell. |
| Derivatives | Financial contracts whose value is derived from an underlying asset. | Complex structures; not always easily traded. |
If you are considering investing in marketable securities, start by researching the specific instruments you are interested in. You can use US Legal Forms to find templates for documents related to buying or selling these securities. If your situation is complex, it may be beneficial to consult a financial advisor or legal professional.
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Common examples include stocks, bonds, and mutual funds that are actively traded.