Question 5
encompasses all institutions
dealing in fresh issues
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15
Answer:
______ encompasses all institutions dealing in fresh issues. New issue market. Secondary market. Money market. Capital market. 27
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New issue market.
New issue market or Primary market encompasses all institutions dealing with fresh issues. In the primary market or new issue market, the companies issue new or fresh securities directly to the investors. In this market, the securities are sold for the first time. The Primary market is of big help when it comes to capital formation because it enables companies who are looking to generate capital to issue their new securities directly to investors and use this finance for investment in building, plant and machinery, equipment, etc.
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