

SecondMarket, an Exchange Lacking Volatility - username3
http://dealbook.nytimes.com/2011/09/26/secondmarket-an-exchange-without-the-volatility/

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jstanderfer
This article confuses volatility with liquidity.

Restrictions on who can buy/sell and how often increase volatility at the
expense of liquidity because it shrinks the potential pool of buyers and
sellers. Real volatility is not waking up one morning to see that your
publicly traded stock that you can sell at a moments notice is down 10%, it's
waking up to see that no one wants to buy your illiquid assets at any price.

