Primary securities markets are those that handle the most important stock and bond issues, while secondary markets are those which handle the less important issues.

Question

Quizplus · Accepted Answer

This statement is false. Primary securities markets are where newly issued securities are first sold to the public, while secondary markets are where existing securities are subsequently bought and sold among investors. The importance of the issues does not determine whether they are traded in primary or secondary markets.

Primary Securities Markets Are Those That Handle the Most Important