Primary Market

The primary market is the financial market where new securities are issued and sold to investors. It is the first stage of the capital market, where companies, governments, and other entities can raise capital by issuing stocks and bonds. The primary market is also known as the new issue market, since it is where new securities are issued and sold to the public for the first time. The primary market is an important source of capital for companies and governments, as it allows them to raise funds for their operations and projects.

History of the Primary Market

The primary market has been around since the early days of finance. In the United States, the first primary market was established in 1792, when the New York Stock Exchange was founded. Since then, the primary market has grown to become a major source of capital for companies and governments. Today, the primary market is a global phenomenon, with securities being issued and traded in markets around the world.

Comparison of Primary and Secondary Markets

Summary

The primary market is the financial market where new securities are issued and sold to investors. It is an important source of capital for companies and governments, as it allows them to raise funds for their operations and projects. The primary market is a global phenomenon, with securities being issued and traded in markets around the world. For more information about the primary market, investors can visit websites such as the Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA).

See Also

• Secondary Market
• Initial Public Offering (IPO)
• Stock Exchange
• Bond Market
• Underwriting
• Securities and Exchange Commission (SEC)
• Financial Industry Regulatory Authority (FINRA)
• Mutual Funds
• Exchange-Traded Funds (ETFs)
• Derivatives

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