📈Blue-chip stocks are more liquid than stocks of smaller companies.

📈ETFs that track widely followed indices or asset classes are highly liquid as their shares can be traded on stock exchanges.

🏢Corporate Bonds issued by highly rated corporations tend to be liquid.

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💵Cash: The most liquid asset, can be readily used for transactions, it has universal acceptance.

💱Major Currencies: highly liquid due to their widespread use in global financial markets.

🏦Government Bonds issued by financially stable governments are considered liquid.

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If you prefer a video summary, we've got you covered as well:
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If you'd like to learn more about the bid-ask spread, feel free to read our dedicated post.
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The bid-ask spread is the difference between the highest bid and the lowest ask.
It is a measure of liquidity as it captures round-trip transaction costs (the cost of turning over a position in a short interval).
Liquid stocks are characterized by low bid-ask spreads.
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The bid price represents the buy side of a market. If the highest bid for a stock is $4, this's the price investors are "bidding" to buy the stock.
The ask price represents the sell side. If the lowest ask is $6, this's the price investors are "asking" to sell the stock.
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