In: Finance
Investors who currently own shares but want to sell must transact in the _________________ markets.
tertiary
secondary
brokered
primary
If a company wants a more cost-effective way to sell shares to the markets, they might consider using a(n) _________________.
IPO
Reg D Private Placement
auction market
shelf registration
1) secondary market
2 private placement
because
The primary market is where securities are created, while the secondary market is where those securities are traded by investors. In the primary market, companies sell new stocks and bonds to the public for the first time, such as with an initial public offering (IPO)
Except for private placement other options envolve marketing and advertising cost which can be huge