Question

securities have a maturity of one year or less; ____ securities generally have relatively high liquidity....

securities have a maturity of one year or less; ____ securities generally have relatively high liquidity.

Money market; money market

Money market; capital market

Capital market; money market

Capital market; capital market

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Answer #1

Money markets are defined as markets where the securities that are traded have a time period of one year or less and they are highly liquid securities. Examples of money market are : Treasury bills, commercial paper etc.

On the other side, capital market are defined as markets where the securities are generally traded for a longer time frame as compared with money market securities. Example of capital market is stock market etc.

So, the correct answer is option of Money market; money market

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