Hello everyone, I am a kid. Next, I will explain to you what is the primary market and what is the secondary market. If you like it, please like and follow. Thank you all.
What is the primary market?
For example, at a class reunion, Si Mao recommended an investment project in the primary market to everyone. Da Mao was more interested, but Da Mao didn’t understand the primary market, so he asked Si Mao what market the primary market refers to? The so-called primary market refers to the securities issuance market in finance. Specifically, the primary market of the stock market is the market that sells newly issued stocks to investors directly or through intermediaries. Since financial institutions such as securities companies sell securities to The initial purchaser process is not public, so it is actually difficult for ordinary small and medium-sized investors to directly participate in investment in this market. Many people only have direct access to the primary market when they subscribe for new shares. It seems that the primary market is quite high-end, how can we participate? For investors, they must first understand that the investment risks in the primary market are very high. Although we often see that the companies we invest in can earn several times their profits as soon as they are listed, in fact, it is very difficult to go public in China. Not only The time is long and the opportunities are few. The returns from listing abroad are often very low. Secondly, participation in primary market investment requires a high threshold. Generally, indirect participation through private equity funds is more common. In our country, the current investment in private equity funds starts at 1 million. This This has blocked out many small and medium-sized investors.
Primary market; in finance, it refers to the securities issuance market, the market where companies or government agencies purchase their newly issued stocks and bonds.
What is the secondary market?
In our daily life, we often need to buy goods, such as going to a bun shop in the morning to buy a bun or tea eggs, or going to the supermarket to buy a pack of French fries. The distinctive feature of the market is