Can anyone define “marketable securities” as mentioned in p.17 of this reading (from the cfa curriculum text)? Is marketable securities just another term for securities that can be marked-to-market? Thank you!
Which reading specifically? Marketable securities, as on a balance sheet, are very liquid, easily priced/converted to cash, short term (<1year) securities like money markets, T-bills, CD’s, etc…and of course, CDO’s…well, maybe not CDO’s
actually, they can be any kind of securities at all, equities bonds, crazy derivatives etc that do not represent significant ownership in firm and that do not give influence or control over firm
Reading 21 in financial statement analysis, specifically
i was only partly right, they actually can be securities that represent control. I also found some stuff on this in reading 21 (pg13) and reading 22(pg73) so cumulatively, the definition should be: any kind of securities at all for which a readily available market value is available (ie. trading price)