Short‐term assets that can be converted quickly into cash at a price near their purchase price that are held to provide both liquidity and a safe return are called

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Secondary reserves are short-term assets that can be quickly converted into cash at a price close to their purchase price, providing liquidity and a safe return. They are distinct from primary reserves, which are held for immediate financial needs, and do not include tertiary reserves or the Federal Reserve, which is the central banking system of the United States.

Short‐term Assets That Can Be Converted Quickly into Cash at a Price