This study aims to examine the effect of corporate liquidity on investment decisions moderated by the level of cash flow sensitivity using non-financial companies listed on Stock Exchange from the period 2005-2009, consist of 164 companies with 328 observations. The results of this study are: First, corporate liquidity has a positive and significant effect on investment decisions. Second, the level of cash flow sensitivity moderates the relationship between cash flow and investment decisions, causing non-monotonic relationships and the U-shape curve. Companies with sensitive cash flow, characterized by young, small, and high growth opportunities, have a negative relationship between corporate liquidity and investment decisions. While companies with insensitive cash flow characterized by older and bigger have a positive relationship between corporate liquidity and investment decision.