Secondary market: Difference between revisions
From ACT Wiki
Jump to navigationJump to search
imported>Doug Williamson (Add link.) |
imported>Doug Williamson (Add explanation of links with Primary markets.) |
||
| Line 7: | Line 7: | ||
In relation to loans, the market in which loans are traded between the original lenders and subsequent lenders. | In relation to loans, the market in which loans are traded between the original lenders and subsequent lenders. | ||
The existence of secondary markets is one of the features that makes primary investors willing to invest in primary markets by buying assets or making other forms of primary investment. | |||
The fact that secondary markets are present means the primary investors will be more likely to be able to exit their investments readily at a time of their choosing. | |||
Especially if the relevant secondary market is deep and liquid. | |||
| Line 13: | Line 20: | ||
* [[Capital instrument]] | * [[Capital instrument]] | ||
* [[Capital market]] | * [[Capital market]] | ||
* [[Deep market]] | |||
* [[Exit]] | |||
* [[Financial asset]] | * [[Financial asset]] | ||
* [[Financial liability]] | * [[Financial liability]] | ||
| Line 18: | Line 27: | ||
* [[Initial public offering]] | * [[Initial public offering]] | ||
* [[Issuer]] | * [[Issuer]] | ||
* [[Liquid]] | |||
* [[Listing]] | * [[Listing]] | ||
* [[Money market]] | * [[Money market]] | ||
Revision as of 09:43, 31 May 2021
1. Financial markets.
The market for the trading of securities that have previously been bought by investors as new issues in the primary market.
2. Loan markets.
In relation to loans, the market in which loans are traded between the original lenders and subsequent lenders.
The existence of secondary markets is one of the features that makes primary investors willing to invest in primary markets by buying assets or making other forms of primary investment.
The fact that secondary markets are present means the primary investors will be more likely to be able to exit their investments readily at a time of their choosing.
Especially if the relevant secondary market is deep and liquid.
