You recently sold to your brother 200 shares of Disney stock; the transfer was made through a broker,and the trade occurred on the TSX.Which type of transaction is this?

Question

Quizplus · Accepted Answer

This is a secondary market transaction because the shares were already issued and are being traded between investors through a broker, rather than being sold for the first time in the primary market. The fact that the trade occurred on the TSX also indicates that it was a secondary market transaction, as the TSX is a major stock exchange focused on trading previously issued securities. The other options - a futures market transaction, a primary market transaction, and a money market transaction - do not accurately describe this particular trade.

You Recently Sold to Your Brother 200 Shares of Disney