The term secondary market refers to a financial market where
stock, bonds, and futures are sold. A secondary market also refers
to used goods and objects.
The term secondary market refers to a financial market where
stock, bonds, and futures are sold. A secondary market also refers
to used goods and objects.
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The primary market is where companies initially sell their stocks or bonds to raise money, while the secondary market is where these securities are traded among investors. View this like selling a new product in a store (primary market) and then upscaling it to be resold in a second-hand market (secondary market). The primary market depends on the secondary market since it delivers a way for investors to easily buy and sell the securities they purchased originally. Without the secondary market, investors might be less eager to buy securities in the primary market since they wouldn't have a stress-free way to sell them later if desired.
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primary market is where the stocks are first sold and secondary
market is where the rest of the business process continues.
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Bonds are traded between investors in the secondary market.
However, unlike stocks, most bonds are not traded in the secondary
market via exchanges. In the secondary market transactions, the
bond does not have to be traded for its original issue price.
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a primary market is financial assets that can be redeemed only
by the original investor; a secondary market's assets can be
resold