HARSHA INSTITUTIONS OF MANAGEMENT STUDIES SUB:INDIAN FINANCIAL SYSTEM TOPIC: PRIMARY MARKET AND SECONDARY MARKET PRESENTED BY. RAKSHITHA R SANDHYA A S
MEANING OF PRIMARY MARKET The primary market is also known as the new issues market. It deals with new securities being issued for the first time.
TYPES OF PRIMARY MARKET Initial public offering Rights issue Private placement Preferential allotment Bonus issue
FUNCTION OF PRIMARY MARKET Capital formation Facilitating investment Price discovery Risk allocation Regulatory compliance
MEANING SECONDARY MARKET The secondary market refers to the buying and selling of previously issued securities among investors, rather than directly from the issuing company. It's where investors trade securities like stocks, bonds, and derivatives after they have been initially issued in the primary market.
TYPES OF SECONDARY MARKET Stock Market Bond Market Commodity Market Foreign Exchange Market Derivatives Market Real Estate Market
FUNCTIONS OF SECONDARY MARKET Liquidity Provision Price Discovery Risk Management Capital Formation Enhanced Efficiency Enhanced Market Integrity