Equity Market is a market where stocks and other securities are bought and sold. It is a market where investors can buy and sell shares of publicly traded companies.
Equity markets are financial markets where stocks, bonds, and other securities are bought and sold. They are also known as stock markets, stock exchanges, or share markets. Equity markets are a key component of the global financial system, providing a platform for companies to raise capital and investors to buy and sell securities.
Equity markets are divided into two main categories: primary markets and secondary markets. Primary markets are where new securities are issued and sold to investors. Companies use primary markets to raise capital for expansion, research and development, and other activities. Secondary markets are where existing securities are traded between investors.
In the primary market, companies issue new securities in the form of stocks, bonds, and other instruments. These securities are sold to investors in exchange for cash or other assets. The company then uses the proceeds to finance its operations.
In the secondary market, investors buy and sell existing securities. This is done through a stock exchange, which is a marketplace where buyers and sellers meet to trade securities. Stock exchanges are regulated by government agencies and are subject to certain rules and regulations.
Equity markets provide a platform for companies to raise capital and investors to buy and sell securities. They are an important part of the global financial system, and play a key role in the growth and development of the economy.