What is Cash Buying?
Cash buying is all about purchasing securities and commodities outright, rather than arranging some type of financing as part of the acquisition. Once considered the only way to acquire commodities, cash buying lost a great deal of market share to purchasing on credit, but that trend has shown signs of reversing in recent years. There are actually a few advantages to the outright purchase approach that may be very attractive to buyers who have liquid assets on hand. One of the great things about cash buying is that the satisfaction of the buyer is immediate and complete. There is no need to schedule some future date for the completion of the transaction. As soon as the cash payment is rendered, the seller will issue proper documents to effect the transfer of ownership at once. The new owner is immediately free to do anything he or she wants with the commodity or security, including turning around and putting the asset up for sale. A second advantage to cash buying is that there are oft
