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A “market maker” provides liquidity that allows trades to clear and keeps prices stable. They make money on the bid-ask spread. They don’t have leverage to rais
by rayiner 10mo ago
A “market maker” provides liquidity that allows trades to clear and keeps prices stable. They make money on the bid-ask spread. They don’t have leverage to raise or lower prices.
- throwaway2037 10mo agoAnother thing: Residential homes are never considered liquid assets. They don't need professional market makers.
- rayiner 10mo agoLiquidity doesn’t make something more or less of an investment, it makes it easier to buy and sell. Liquidity in residential homes is a good thing. It means that it’s easier to sell your house and buy a new one if you need to move for whatever reason.
- munksbeer 10mo agoIf we're still talking about big investors, they're buying, not selling. They're not "market makers" if they're one side only.