Getting started with the primary and secondary financial markets

@pringu (151)
India
July 16, 2012 7:46am CST
A basic thing to understand in stock market is the presence of primary as well as secondary markets. Markets are nothing but platforms which are used by the lenders as well as borrowers to exchange funds or cash. Before plunging into primary and secondary markets, there are some simple yet important terminologies in stock markets which helps you to understand the financial markets pretty easily. They are investors, issuers and intermediaries. Investors are those who invest the surplus amounts of money they have or cash into equities or stocks. eg: ordinary people like us who are also termed as retail investors. Issuers are the ones who make the stocks or shares available in the market for investors to purchase them. Egs: companies. Intermediaries: are generally institutions which helps in easy transfer of funds or cash between investors and issuers. Eg: stock broking firms, banks etc More about primary markets in my next discussion......
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1 response
• Philippines
16 Jul 12
Wow! So are you starting an investing 101 in myLot? That's great! I love to hear from you and from everyone interested in making money through investments. I am a stock investor/trader here in our local stock market. It will be great to hear tips and insights from other people who share the same passion as me in stock markets. I must admit that I am still learning the ins and outs of the market and I am really happy that I took the leap to try and learn it. Your discussions will surely help out those who are interested in market activities. I would really love to hear your discussions here out on. I hope other investors out here in myLot will participate in this discussions. Maybe you can discuss some technical or fundamental analysis also in your next discussions. I am eager to learn about them!
@pringu (151)
• India
16 Jul 12
Hi gulaman, nyc to hear from u.I too shud admit that, m ain't an expert when it comes to stock markets but as u rightly said, my intention here is to impart the knowledge and know hows m aware of, to my fellow mylotters interested in stock markets and trading. I wud be so glad to know facts that i may not know from u too. As an old saying goes, the newer features in stock market keeps evolving alwez, so the opportunity to keep knowing and learning more is immense.
• Philippines
16 Jul 12
Yeah, trading techniques and practice evolves. My portfolio right now is quite diversified in different industries. I am more into the blue chips right now. More of a dividend playing tactic. But once I get more comfortable with high risks ,I am open to investing in volatile securities for some small amount. How about you, what do you look for when choosing which stock or securities to buy?
@pringu (151)
• India
16 Jul 12
I shud say, m just the opposite to the kind of stocks that u trade. I invest my money more into the midcaps and smallcaps. To me, small caps and midcaps are the most volatile ones and over here in India, there are quite a few stocks that keep fluctuating in big margins. Yea, initially, i was a blue chip investor, but as i wasn't able to buy shares in bulk, coz most of them are highly priced, i muvd to the midcaps and some slective smallcaps.