When Electronic Arts, the company behind the games FIFA 20 and Star Wars Jedi: Fallen Order, sold stock to the public for the first time in September 1989, funds were being raised in a ________ market, and when those newly issued shares are resold to other buyers, the sales take place in a ________ market.

Question

Quizplus · Accepted Answer

When a company sells stock to the public for the first time, it is engaging in a primary market transaction. The resale of these shares occurs in the secondary market, where one investor buys shares from another investor rather than from the issuing company.

When Electronic Arts, the Company Behind the Games FIFA 20