The Secondary Market. Used in reference to trading in a new issue. See also: Effective Date.

Secondary Market:

The trading in existing or out-standing securities (vs. new issues). Secondary market transactions take place on exchanges or over-the-counter.

Effective Date:

The day on which the SEC (Securities Exchange Commission) permits a new issue (of stock or other instrument) to be sold to investors. (IPO)


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Learn more about finance terms at Investopedia

Categories: Finance

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