Question

State any four differences between Primary market and Secondary Market.

Answer 1

                                        PRIMARY  MARKET

• Primary market is defined as the market area for the latest shares.

• The other name of the primary market is ( NIM ) Newly Issued Market.

• In the primary market the shares can be purchased directly.

• In the primary market the security can be sold only once.

• In the primary market the prices are fixed.

                                      SECONDARY MARKET

• Secondary market is defined as the area where previously issued securities are bought & sold.

• The other name of the market place is known is also known as after market.
• In the primary market the shares can be purchased indirectly.

• In the primary market the security can be sold multiple times.
• In the secondary market the prices Fluctuates, depends on the demand and supply force.