Answered: Why Are Secondary Markets Important?

Business

Finance

Why Are Secondary Markets Important?

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter1: An Overview Of Financial Management And The Financial Environment

Section: Chapter Questions

Problem 14MC

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Question

Why Are Secondary Markets Important?

Expert Solution

Step 1

Secondary market:

Secondary market is defined as a place where purchase and sale of securities is made. Secondary market comprises of both debt as well as equity market. Secondary market is also known as stock market. Secondary market deals with the purchase and sale of already issued debt and equity securities of companies and others.

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