Which of the following is an example of a primary market transaction?
A)ANZ bank issues new shares to a large funds manager in a private placement.
B)The ANZ bank sells 10-year government bonds that have 5 years to maturity.
C)Mary sells 1000 Qantas shares through her broker.
D)BHP issues new bonds which will mature in ten years.
E)Both A and D are primary market transactions.

Question

Quizplus · Accepted Answer

In a primary market transaction, new securities are issued directly by the company to investors. Both A and D involve the issuance of new securities: ANZ bank issuing new shares and BHP issuing new bonds.

Which of the Following Is an Example of a Primary