Active secondary markets do NOT:
A)provide investors with liquidity
B)raise funds for the issuers of securities
C)perform price discovery
D)perform maturity transformation
E)assist the operation of primary markets.

Question

Quizplus · Accepted Answer

Secondary markets do not raise funds for the issuers of securities; this is the function of primary markets. Secondary markets facilitate the trading of existing securities, providing liquidity and aiding in price discovery.

Active Secondary Markets Do NOT