Which of the following securities would you expect to buy on the primary market?

Question

Quizplus · Accepted Answer

The primary market is where new securities are issued and sold for the first time. A newly issued share is an example of a security that would be purchased on the primary market. Bonds with both short and long maturities may be purchased on the primary market but only if they are newly issued. Therefore, options A and B are not necessarily correct. Option D is incorrect because previously issued shares would be purchased on the secondary market.

Which of the Following Securities Would You Expect to Buy