Secondary Market Explained: Meaning, Types, Process, and Use Cases
The **secondary market** is where investors trade existing securities with one another after those securities have already been issued. It is the part of the market most people see every day through stock exchanges, bond markets, and over-the-counter trading. Understanding the secondary market is essential because it explains liquidity, price discovery, portfolio rebalancing, and why investors care not just about buying an asset, but also about being able to sell it later.