capital market

(redirected from securities market)
Also found in: Dictionary, Thesaurus, Legal, Encyclopedia, Wikipedia.

Capital market

Traditionally, this has referred to the market for trading long-term debt instruments (those that mature in more than one year). That is, the market where capital is raised. More recently, capital markets is used in a more general context to refer to the market for stocks, bonds, derivatives and other investments.

Capital Market

Any market in which securities are traded. Capital markets include the stock and bond markets. Companies and governments use capital markets to raise funds for their operations; for example, a company may issue an IPO while a government may issue a bond in order to conduct new or expand ongoing activities. Investors purchase securities in the capital markets in order to extract a return and earn profit on the securities. Capital markets include primary markets, such as IPOs that are placed with investors through underwriters, and secondary markets, in which all subsequent trading takes place. Government agencies in different countries regulate local capital markets, though some, especially exchanges, play some role in regulating themselves.

capital market

The market for long-term funds where securities such as common stock, preferred stock, and bonds are traded. Both the primary market for new issues and the secondary market for existing securities are part of the capital market.

capital market

see STOCK MARKET.

capital market

the market for long-term company LOAN CAPITAL and SHARE CAPITAL and government BONDS. The capital market together with the MONEY MARKET (which provides short-term funds) are the main sources of external finance to industry and government. The financial institutions involved in the capital market include the CENTRAL BANK, COMMERCIAL BANKS, the saving-investing institutions (INSURANCE COMPANIES, PENSION FUNDS, UNIT TRUSTS and INVESTMENT TRUST COMPANIES), ISSUING HOUSES and MERCHANT BANKS.

New share capital is most frequently raised through issuing houses or merchant banks, which arrange for the sale of shares on behalf of client companies. Shares can be issued in a variety of ways, including: directly to the general public by way of an ‘offer for sale’ (or an ‘introduction’) at a prearranged fixed price; an ‘offer for sale by TENDER’, where the issue price is determined by averaging out the bid prices offered by prospective purchasers of the share subject to a minimum price bid; a RIGHTS ISSUE of shares to existing shareholders at a fixed price; a placing of the shares at an arranged price with selected investors, often institutional investors. See STOCK EXCHANGE.

References in periodicals archive ?
The Ministry of Finance will always stand side by side with the management agencies, enterprises and the securities market in the spirit of the Government.
With the promulgation of this comprehensive and updated law, it was expected that the securities market operations would become more streamlined and efficient and the goals of investor protection and market development would be achieved, the Commission said.
All GCC securities markets were in positive territory for the year to date
He added that the merger will improve the performance of the financial market in the UAE and help the country to get ranked higher among regional and international securities markets, thus attracting a lot more potential investors, especially foreign ones and international portfolios.
While unquestionably important, it is not necessarily the case that the securities market that offers the best price (which often turns out to be the NYSE for NYSE-listed securities) is the appropriate market to which investors' orders should be routed.
Better access to foreign currencies, through retail banking and securities markets, will offer better access to much higher returns available overseas.
The smaller, private asset-backed securities market receives less media attention, but it's actually more dynamic than the public market.
I welcome this opportunity to discuss legislative initiatives concerning the government securities market. By my count, this marks the ninth time since Salomon Brothers' admission of wrongdoing that I have delivered testimony on this subject before a congressional panel.
"Being lead underwriter gives us greater access to the mortgage-backed securities market," says PMC Senior Vice President Donna Sims Wilson.
Foreign companies wishing to issue securities in a local securities market would reconcile their home country financial statements to international standards but would not be required to reconcile with local accounting principles.
In January 2019, the volume of state securities market was 1.4 billion manats (a 39.34 percent increase for the year), corporate securities market turnover was 9.96 million manats (a 4.5 times decrease) and the volume of derivatives market was 413.7 million manats (a 57.2 percent decrease).
Industry insiders say it is better to use the US dollar in trading transactions when corporate bonds are issued for the first time in the Cambodian securities market next year.

Full browser ?