Mutual Funds
What is the difference between the primary market and the secondary market?
In the primary market, securities are offered to public for subscription for the purpose of raising capital or fund. Secondary market is an equity trading avenue in which already existing/pre- issued securities are traded amongst investors. Secondary market could be either auction or dealer market. While stock exchange is the part of an auction market, Over-the-Counter (OTC) is a part of the dealer market.
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More from this specialization
- Are the companies having names like mutual benefit the same as mutual funds schemes?
- Can non-resident Indians ( NRIs ) invest in mutual funds?
- What is the pay-in day and pay-out day?
- How to know the performance of a mutual fund scheme?
- What are the various types of financial markets?
- What are the relevant rules and regulations and where can I find them?