Phillips regularly invests in the securities of established companies.However, he does not invest in new securities issued by companies.His transactions take place in the

Question

Quizplus · Accepted Answer

Phillips is investing in already existing securities, which means he is not buying them directly from the company (primary market). Instead, he is buying them from another investor in the secondary market, which is a place where securities are traded between investors. Therefore, the correct choice is the secondary market (C). The open market (B) is a more general term that refers to the overall market for securities, and the closed market (A) is not a commonly used term in finance.

Phillips Regularly Invests in the Securities of Established Companies