Capital market: Difference between revisions
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imported>Doug Williamson (Expand and add links. Sources: linked pages.) |
imported>Doug Williamson (Expand.) |
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Primary capital markets are concerned with the initial raising of capital. | Primary capital markets are concerned with the initial raising of capital. | ||
Secondary markets allow the original investors to sell on their investments | Secondary markets allow the original investors to sell on their investments to others. | ||
Revision as of 14:00, 29 October 2016
Capital markets trade longer-term financial instruments (usually with a life of more than one year) and equity.
Primary capital markets are concerned with the initial raising of capital.
Secondary markets allow the original investors to sell on their investments to others.
Yields on instruments with maturities of more than one year are commonly quoted on an effective annual rate basis.
(An exception to this being bonds with semi-annual interest payments, which are more commonly quoted on a semi-annual basis.)
