Which of the following is NOT a tool used for managing liquidity?

The choice of investment portfolios as not being a tool for managing liquidity is correct because liquidity management primarily focuses on ensuring that an organization has enough liquid assets available to meet short-term obligations.

Liquidity ratios, such as the current ratio and quick ratio, are critical tools for assessing a company's ability to cover its short-term liabilities with its current assets, making them central to liquidity management. Cash flow forecasts are essential for predicting how cash flows in and out of the business over a certain timeframe, enabling better planning for liquidity needs. Credit lines are also a crucial liquidity management tool since they provide businesses with immediate access to funds when cash flow is tight.

In contrast, investment portfolios typically involve longer-term assets, which may not be readily convertible to cash without potential losses or delays. While investment strategies can impact overall financial health and by extension, liquidity indirectly, they do not serve a direct role in the immediate management of liquidity concerns.