The secondary market is where investors can trade securities on a stock exchange with the help of a brokerage service.
What is the secondary market?
The secondary market is where most investment activity occurs. Unlike the primary market, where investors purchase shares of a security directly from their issuers, investors in the secondary market don’t interact with the issuers. Instead, they buy and sell securities with a brokerage service through a stock exchange (such as the New York Stock Exchange). The secondary market is what the term “stock market” refers to.