What is the difference between primary market and secondary market?

[Rishab V]

PRIMARY MARKET – IT IS THE PLACE WHERE THE COMPANY REGISTERS WITH SEBI FOR IPO TO RAISE FUNDS FROM PUBLIC.

SECONDARY MARKET-IT IS THE PLACE WHERE THESE SHARES RAISED THROUGH IPO’S, BOUGHT BY THE PUBLIC ARE TRADED.

[Kumarasamy]

1. The company which maybe privates or government or public sectors can raises funds through bonds issue and rises their capital or collecting the capital from the public by making their company advertisement through media,news ,and so by process called ipo and moreover those who bought share or bonds can’t be sold by own .this procedure called primary market
2. Secondary market means is a place where investor or retailers sell or buy their stock through on-line trading which is already own by primary market.

[Vishal Rath]

<span style=”color: #111111; font-family: sourcesanspro, sans-serif; font-size: 17px; -webkit-text-stroke-width: 0.15px;”>In the primary market, investors or traders buy securities directly from the company, whereas in the secondary market, investors or traders trade securities among themselves and the company does not participate.</span>

http://www.investopedia.com/ask/answers/012615/whats-difference-between-primary-and-secondary-capital-markets.asp

[Vijayavani]

When a share holder purchases shares directly from the company through IPO, it is primary market.

When the share holders transfer their shares of a company and the company does not participate, it is called secondary market.

[Dr Faiz]

Equity shares allotted directly by the company through an IPO or as private placement of an already listed company is the primary market.

The exchange of ownership of shares between the buyers and sellers is the secondary market.In this transaction the company is not involved.

[Author]

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