Primary market definition advantages and disadvantages
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Answered by
7
it is part of capital market which deals with issuance of new security
in other word we say information directly getter from consumer
advantage
1 issue are directly issued by company
2 faciliate capital growth
3 it help investors to invest their saving
disadvantage
their are not enough disadvantage but might some may leads
1 in thi share are invested at fix prise
2 lack of enough resource
2
in other word we say information directly getter from consumer
advantage
1 issue are directly issued by company
2 faciliate capital growth
3 it help investors to invest their saving
disadvantage
their are not enough disadvantage but might some may leads
1 in thi share are invested at fix prise
2 lack of enough resource
2
Answered by
7
"Definition: The capital market is made up of the primary market, the one which is concerned with the issuing and implementation of new securities.
Long term instruments are created by the primary markets through which funds are raised from the capital market by the corporates
Advantages of Primary Markets
1. Capital for business purposes can be obtained.
2. Through sale of Treasury bonds, the government can raise the required capital
4. Excess liquidity in the economy is controlled
5. Helps in direct foreign investment.
Disadvantages of Primary Markets
1. Primary research projects can be quite expensive
2. Primary research is a time-consuming process as it involves deep research
"
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