what do you mean by secondary market? what are the condition for recognition of a stock excahnge
Answers
Explanation:
Also known as aftermarket, is the follow on of public offering in the market. It is the place where stocks, bonds, options and futures, issued previously, are bought and sold. Simply put, it is a marketplace where securities issued earlier, are sold and purchased
Exchange-traded market also known as auction market is a place where all the transactions are routed through a central source (exchange) that is completely responsible for being the intermediary that connects buyers and sellers.
In an exchange-traded market, securities are traded via a centralized place (for example, the NYSE and the LSE). Buys and sells are conducted through the exchange and there is no direct contact between sellers and buyers. There is no counterparty risk – the exchange is the guarantor. Exchange-traded markets are considered a safe place for investors to trade securities due to regulatory oversight. However, securities traded on an exchange-traded market face a higher transaction cost due to exchange fees and commissions
secondary market where the trading securities be done.
these are organized exchange organised exchanges are there are individuals in the initial and their securities to another without the firm and presence of the securities