What type of asset must be held for over one year to qualify for capital markets?

To qualify for capital markets, an asset must be categorized as long-term. This is because capital markets are primarily concerned with long-term funding and investment strategies, which typically involve assets with a maturity of over one year. These long-term assets may include stocks, bonds, and real estate, which are essential for raising capital for longer-term projects and investments.

Short-term assets, on the other hand, are typically held for less than one year and are more associated with money markets rather than capital markets. Liquid assets refer to those that can easily be converted into cash, but they do not necessarily meet the long-term requirement. Convertible assets, while they can be transformed or exchanged for other types of securities or assets, are not a specific category defined by the duration of investment needed to access capital markets. Thus, long-term assets are clearly the defining requirement for participation in capital markets.