A securities market primarily composed of dealers who buy and sell for their own inventories is referred to which type of market?

Question

Quizplus · Accepted Answer

A securities market primarily composed of dealers who buy and sell for their own inventories is referred to as an over-the-counter market. In this type of market, securities are not traded on a centralized exchange but rather through a network of dealers who negotiate trades directly with each other. The dealers maintain an inventory of securities and quote both bid and ask prices to potential customers. This market is also known as a dealer market or a negotiated market.

A Securities Market Primarily Composed of Dealers Who Buy and Sell