True. But lets take the alternative. If an asset like a loan or bond was non-transferable meaning once made you had to hold it to term no matter what then the

True. But lets take the alternative. If an asset like a loan or bond was non-transferable meaning once made you had to hold it to term no matter what then the price of that loan would be higher to compensate for the illiquidity. And from the perspective of the borrower whether you pay to the originator of the loan or to a subsequent buyer makes no functional difference.