Marketable Assets Marketable assets are those which can be easily transferred from one person to another without much hindrance. Example: Shares of Listed Companies, Government Securities, Bonds of Public Sector Undertakings etc. BASIS FOR COMPARISON NEW ISSUE MARKET SECONDARY MARKET Meaning The market place for new shares is called primary market. (Initial Issues Market) The place where formerly issued securities are traded is known as Secondary Market.
(Resale Market) Buying Direct Indirect Financing It supplies funds to budding enterprises and also to existing companies for expansion and diversification It does not provide funding to companies How can securities be sold? Only once Multiple times Buying and Selling between Company and Investors Investors Gained person Company Investors Intermediary Underwriters Brokers Price Fixed price Fluctuates, depends on the demand and supply force Organizational difference Not rooted to any specific spot or geographical location It has physical existence