Visual 2 What is a Stock Market?
Overview of the Market for Stocks
| Primary Market | Stock Market |
| Company X needs resources to expand business. | Individual investor purchases Company X stock using phone, e-mail, Web or fax orders. |
| Offers stocks for sale for the first time in an Initial Public Offering (IPO) purchased by investment bankers. | Company X stock is offered for sale by brokers on one of the three major stock markets. |
| Company X stock is offered for sale by brokers on one of three major stock markets. | NYSE AMEX NASDAQ |
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