Practicing Success

Target Exam

CUET

Subject

Business Studies

Chapter

Financial Markets

Question:
Which of the following is also known as New Issue Market?
Options:
Primary market
Secondary Market
Capital market
None of the above
Correct Answer:
Primary market
Explanation:
PRIMARY MARKET : The primary market is also known as the new issues market. It deals with new securities being issued for the first time. The essential function of a primary market is to facilitate the transfer of investible funds from savers to entrepreneurs seeking to establish new enterprises or to expand existing ones through the issue of securities for the first time.