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What is meant by capital market?

Answer Posted / abhishek

Capital Market is the platform where companies can raise money & investors can use their idle money for investment in various kinds of securities.

There are two segments of capital markets:
1. Primary market: where company can raise money through IPO, and investor can buy shares through IPO.

2. Secondary Market: Any further trading on a share happens in secondary market.

Note: it is irrelevant whether investment is long term or short term.

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