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S
R
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PRIMARY
MARKET
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SECONDARY
MARKET
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1.
2.
3.
4.
5.
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Meaning
The market is utilized for raising fresh capital in
the form of shares and debentures.
Function
The function is to raise long term funds through
fresh issue of securities.
Participants
The participants are financial institutions, mutual
fund, under writer, individual investor.
Listing Requirements
Listing is not required in the case of primary
market.
Determinants of Prices
The prices are determined by the management of the
corporate houses with due compliances with the SEBI requirements for new
issue of securities.
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It is a market where existing securities are resold
or traded.
The function is to provide continuous and ready
market for existing long term securities.
The participants of primary market as well as the
stock brokers and the members of the stock exchange are the participants.
Only listed securities can be dealt in the secondary
market.
in case of secondary market the prices are
determined by forces of demand and supply in the market and they keep on
fluctuating.
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PRIMARY MARKET SECONDARY MARKET
