primary market

(redirected from Primary Trading)

Primary market

Where a newly issued security is first offered. All subsequent trading of this security occurs is done in the secondary market.

Primary Market

The first group of investors to whom a new issue of a security is sold. The primary market consists of the issuer and the first buyers of the issue. All subsequent trading takes place on the secondary market. Underwriting is the process by which the primary market functions, that is, how issues are sold to the primary buyers. The primary market can at times be more volatile than the secondary market because it is difficult to determine the underlying value of new issues. In any case, the primary market accounts for only a portion of trade on a given trading day. See also: Rights issue, Preferential issue, Initial public offering.

primary market

The market in which new, as opposed to existing, securities are sold. Investors who purchase shares in a new security issue are purchasing them in the primary market. Investors who buy stocks and bonds in the primary market usually are not required to pay brokerage commissions because fees for selling the issue are built into its price and are absorbed by the issuer. Also called new issue market. Compare secondary market.

Primary market.

If you buy stocks or bonds when they are initially offered for sale, and the money you spend goes to the issuer, you are buying in the primary market.

In contrast, if you buy a security at some point after issue, and the amount you pay goes to an investor who is selling the security, you're buying in the secondary market.

The term primary market also applies the leading or main markets for trading various products. For example, the New York Stock Exchange (NYSE) is a primary market for stocks.

primary market

Any market in which the original issuer receives money, such as an investment house that purchases all securities for an original issue and then resells them on the stock market. Also called the loan origination market. Contrast with secondary market, where mortgages are pooled and then sold to others.

References in periodicals archive ?
He also praised the positive role of the UAE in supporting and strengthening the Somali economy, saying that the UAE is Somalia's primary trading partner and main outlet to the rest of the world.
Vimitha Deepak, CEO of the Indian Business and Professional Council, in support of the event, said: "India is one of the primary trading partners of the UAE accounting for about 9.
He pointed out that Italy is one of the most important trade partners of the UAE among European Union countries, and that the UAE in return is also considered as one of Italy's primary trading partners in the Arab region, as reflected by their growing bilateral trade.
With a bilateral trade worth AED 79 billion, China was - by far - Dubai's primary trading partner in H1 2016.
With a bilateral trade worth Dh79 billion, China was - by far - Dubai's primary trading partner in H1 2016.
The Red Sea region, comprising the 20 countries that use the route as their primary trading corridor, is the largest, fastest-growing, and least exploited emerging market in the world.
Iran has historically been a primary trading partner for Italy's textile machinery industry.
Saudi Arabia is the United Kingdom's primary trading partner in the Middle East.
AS WALL Street giant JPMorgan (JPM) Chase & Co begins the search for buyers of its physical commodities business, a collection of long-term leases on more than a quarter of the oil storage tanks in Canada's primary trading hub may emerge as one of its most valuable but lesser-known assets.
In his new role, Mak will have primary trading as well as portfolio management responsibilities.
A primary trading area was defined as people within a 5 minute drive of the mall, a secondary one as people within 15 minutes drive of the mall and a third trading area included customers who would travel from a distance to visit the new mall.
The EU is already these two countries' primary trading partner with an overall bilateral trade in goods estimated at 1.