Tuesday, September 20, 2016

Primary market VS Secondary market


Primary market
Secondary market
1. The Primary market refers to the market where new securities are issued by the company that wishes to obtain capital and is sold directly to the investor.
1.The secondary market refers to the market where securities that have already been issued are traded. Instruments that are usually traded on the secondary market include stocks, bonds, options and futures.
2. Company is directly involved in the transaction,
2. Company has no involvement since the transactions occur between investors