Types of Markets

Madhukar Angur

As an Entrepeuner I , Madhukar Angur believes  that   financial market is a broad term describing any marketplace where buyers and sellers participate in the trade of assets such as equities, bonds, currencies and derivatives. Financial markets are typically defined by having transparent pricing, basic regulations on trading, costs and fees, and market forces .

Capital Markets
A capital market is one in which individuals and institutions trade financial securities. Organizations and institutions in the public and private sectors also often sell securities on the capital markets in order to raise funds. Thus, this type of market is composed of both the primary and secondary markets.

Stock Markets
Stock markets allow investors to buy and sell shares in publicly traded companies. They are one of the most vital areas of a market economy as they provide companies with access to capital and investors with a slice of ownership in the company and the potential of gains based on the company’s future performance.

Bond Markets
A bond is a debt investment in which an investor loans money to an entity (corporate or governmental), which borrows the funds for a defined period of time at a fixed interest rate.

Money Market

Money market securities consist of negotiable certificates of deposit (CDs), banker’s acceptances, U.S. Treasury bills, commercial paper, municipal notes, euro dollars, federal funds and repurchase agreements (repos).

Derivative Market 
A derivative is a contract, but in this case the contract price is determined by the market price of the core asset.


3 thoughts on “Types of Markets

  1. stock markets for me have always been most riskiest investment plans .. Gud to read dis post which has enlightened me with other markets to invest in .


  2. I have experienced the destructive power of stock markets. investments through fds and bonds is a safe option.


  3. Madhukar Angur has explicitly defined markets for even a normal person can easily read and understand . gud one !


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