A ‘primary market' is a market: ()
A: only for equity issues by major or ‘primary' companies.
B: where borrowers sell new financial instruments to buyers.
C: where savers sell new financial claims to borrowers.
D: where government securities are bought and sold.
A: only for equity issues by major or ‘primary' companies.
B: where borrowers sell new financial instruments to buyers.
C: where savers sell new financial claims to borrowers.
D: where government securities are bought and sold.
举一反三
- A secondary market is a financial market in which new securities are traded, while a primary market is for trading second-handed securities.
- Primary market refers to the market ____________. A: that attempts to identify mispriced securities and arbitrage opportunities. B: in which investors trade already issued securities. C: where new issues of securities are offered. D: in which securities with custom-tailored characteristics are designed.
- The money market is the market in which _________ are traded. A: new issues of securities B: previously issued securities C: short-term debt instruments D: long-term debt and equity instruments
- The<br/>stock market is important because it is A: where<br/>interest rates are determined. B: the<br/>most widely followed financial market in the United States. C: where<br/>foreign exchange rates are determined. D: the<br/>market where most borrowers get their funds.
- Which of the following statements regarding primary and secondary markets is FALSE() A: Secondary market transactions occur between two investors and do not involve the firm that originally issued the security. B: New issues of government securities can be sold on the primary market. C: Prevailing market prices are determined by primary market transactions and are used in pricing new issues.