Flight to quality

1.

Flight to quality describes the behaviour of investors in times of market stress, when they prefer very low-risk assets or asset classes.

These assets or asset classes are sometimes known as 'safe havens'.

2. Lending.

Similar preferences and actions by lenders.

See also

• Flight to liquidity
• Flight to quality asset
• Flighty
• Gilts
• Liquidity
• Risk asset
• Risk averse
• Risk-free asset
• Risk-off
• Risk-off asset
• Risk-on
• Safe harbour
• Safe haven
• Stress