Stocks and Stock Markets

Transactions on Secondary Market

After the initial issuance, investors can purchase from other investors in the secondary market. In the secondary market, securities are sold by and transferred from one investor or speculator to another. It is therefore important that the secondary market be highly liquid. As a general rule, the greater the number of investors that participate in a given marketplace, and the greater the centralization of that marketplace, the more liquid the market.

The Philippine Stock Market Board