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Where can we buy or sell shares of stocks and bonds? ( summrize the answer as well as possiable)

Finance Dec 01, 2020

Where can we buy or sell shares of stocks and bonds?

( summrize the answer as well as possiable)

Expert Solution

Capital markets are the places where buying and selling of securities like stocks, bonds etc takes place

Capital Markets can be primary and secondary

Primary Markets - Primary markets are the places where buying and selling or initial offering securities are traded these can be equities or bonds

Secondary Markets - In secondary markets securities that are already issued were traded . That means here securities are traded between market participants other than trading

Examples- New York Stock Exchange , London Stock exchange etc

Since we need to buy and sell securities it is the secondary market we can do these transactions .

Simply speaking stock exchanges are the main types of secondary markets where buying and selling of securities take place

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