Financial Awareness - Risk, Stability & Emerging Finance
Which of the following is NOT a characteristic of the Secondary Market?
Which of the following is NOT a characteristic of the Secondary Market?
medium Q15 of 15
Step-by-Step Solution
Step 1: Understand Secondary Market characteristics
The Secondary Market is where existing securities are traded among investors, providing liquidity, and stock exchanges operate here.Step 2: Identify the incorrect statement
The New Issue Market is another name for the Primary Market, not the Secondary Market. Hence, this statement is false for the Secondary Market.Final Answer:
It is also known as the New Issue Market → Option CQuick Check:
New Issue Market = Primary Market only ✅
Quick Trick: New Issue Market = Primary Market only.
Common Mistakes:
- Confusing New Issue Market as a Secondary Market term.
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