RT Journal Article
SR Electronic
T1 Market Liquidity: <em>Don’t Know What You’ve Got ‘Til</em>
               <br/> 
               <em>It’s Gone</em>
JF Trading
FD Institutional Investor Journals
SP 14
OP 18
VO 2011
IS 1
A1 Robert A. Jaeger
YR 2011
UL http://guides.pm-research.com/content/2011/1/14.abstract
AB The author discusses the lessons the global financial crisis taught about the precious but fragile liquidity of capital markets. Debunking myths about long-term investors’ liquidity needs and the role of hedge funds and high-frequency traders in supplying liquidity, the author argues that the most important source of liquidity is unleveraged contrarian investors who are willing to take the other side of a trade. He warns that the growing homogenization and concentration of market participants may be endangering the investor diversity and robust market infrastructure needed to preserve reliable sources of liquidity.