Liquidation – Forex Economic Dictionary

Forex Economic Dictionary
Economic Dictionary

Liquidationany transaction, which neutralizes or closes the previously occupied position. We have another case of liquidation when a businessman or a company go bankrupt and their assets are sold. Anything that remains is distributed among the shareholders depending on their shareholdings. We have voluntary liquidation when the process is initiated by the shareholders. When it is initiated by creditors after they receive a permission from the court, this is a compulsory liquidation.

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