ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -The secondary market is where securities are traded after the company has sold its offering on the primary market. It is also referred to as the stock market. The New York Stock Exchange (NYSE), London Stock Exchange, and Nasdaq are secondary markets.

Detailed explanation-2: -The secondary market is where investors buy and sell securities they already own. It is what most people typically think of as the “stock market, ” though stocks are also sold on the primary market when they are first issued.

Detailed explanation-3: -The secondary market, also called the aftermarket and follow on public offering, is the financial market in which previously issued financial instruments such as stock, bonds, options, and futures are bought and sold.

Detailed explanation-4: -Secondary markets are primarily of two types – Stock exchanges and over-the-counter markets. Stock exchanges are centralised platforms where securities trading take place, sans any contact between the buyer and the seller. National Stock Exchange (NSE) and Bombay Stock Exchange (BSE) are examples of such platforms.

Detailed explanation-5: -For buying equities, the secondary market is commonly referred to as the “stock market.” This includes the New York Stock Exchange (NYSE), Nasdaq, and all major exchanges around the world. The defining characteristic of the secondary market is that investors trade among themselves.