Secondary markets are concerned with the trading of previously issued securities between investors. They allow individuals and institutions to buy and sell securities that are already issued, providing investors with liquidity and flexibility.

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Secondary Markets

Question 10

Multiple Choice

Secondary markets

A) function as a place for smaller, less well-known firms to issue securities.
B) are an important vehicle for established firms to raise additional money for expansion.
C) are a means by which funds are cycled from savers to borrowers.
D) are concerned with the trading of previously issued securities between investors.

Correct Answer: