What characteristic is NOT associated with perfectly competitive asset markets?

In perfectly competitive asset markets, there are several defining characteristics that create an environment conducive to fair pricing and economic efficiency. The presence of a high number of participants ensures that no single participant has market power to influence prices significantly. Homogeneous assets allow for the assets to be seen as perfect substitutes, which fosters competition and ensures that buyers and sellers can transact easily without concern for variations in product quality. Complete transparency refers to the availability of information regarding pricing and availability, allowing all participants to make informed decisions.

The characteristic of being highly regulated does not apply to perfectly competitive asset markets. In such markets, participants operate under conditions of minimal regulation, which encourages competition and freedom in transactions. High regulation can impose constraints and barriers to entry that disrupt the flow of competition, ultimately affecting the market's dynamics, pricing mechanisms, and the ability of buyers and sellers to interact freely. Thus, this characteristic is antithetical to the principles of perfect competition.