Read the case study and answer question:

Radiant limited is a well known Pharmaceutical company. The company is planning to expand and modernize its business operations for which it requires 500 crores. Akshat, the finance manager of the company, advised to issue Equity Shares in the Capital market.

The Board finally decided to issue 300 crores through issue of Shares to general public electronically in the primary market. For the remaining 200 crores, the company will give a privilege to existing shareholders to subscribe to new shares as per the conditions of Radiant limited.

In order to meet floatation cost, for raising funds in the capital market the company decided to issue a money market instrument. Further the company will get the shares listed in the secondary market. Listing with stock exchange will facilitate buying and selling of securities and provide safety of investment to the investors.

In the secondary market the shares are listed with ______.

Stock Exchange

The correct answer is Option (3) → Stock Exchange.

In the secondary market the shares are listed with Stock Exchange.

The secondary market is also known as the stock market or stock exchange. It is a market for the purchase and sale of existing securities. It helps existing investors to disinvest and fresh investors to enter the market. It also provides liquidity and marketability to existing securities. It also contributes to economic growth by channelising funds towards the most productive investments through the process of disinvestment and reinvestment. Securities are traded, cleared and settled within the regulatory framework prescribed by SEBI. In the secondary market the shares are listed with Stock Exchange.