Secondary Trading

Secondary trading refers to the buying and selling of financial securities, like stocks or bonds, after they have already been issued in the initial offering (primary market). In this process, investors exchange existing securities among themselves through stock exchanges or over-the-counter markets. It provides liquidity, allowing investors to quickly buy or sell assets, and helps determine the current market price based on supply and demand. Essentially, secondary trading is the ongoing market activity where investors trade securities to manage their investments or capitalize on market movements.