Types of Market & IPO

Where do companies sell shares for the first time?

• Primary Market

• Private Placement
• Secondary Market
• Stock Exchange

Do companies get money directly from people in the primary market?

• YES

• NO

Is the primary market for old shares?

• NO

• YES

Which person helps the company sell shares if no one buys them?

• Underwriter

• Stock Broker
• Investment Banker
• Financial Analyst

Who makes the rules for how shares are sold?

(a)  

Is a Secondary Market where people buy shares from the company?

• NO

• YES

Which FPO increases the number of company shares?

• Dilutive

• Non-dilutive

Is it true that FPOs are less risky because people know more about the company?

• YES

• NO