{"id":32499,"date":"2024-02-24T11:09:27","date_gmt":"2024-02-24T05:39:27","guid":{"rendered":"https:\/\/blog.researchandranking.com\/?p=32499"},"modified":"2025-11-07T13:29:56","modified_gmt":"2025-11-07T07:59:56","slug":"different-types-of-share-market-you-should-know","status":"publish","type":"post","link":"https:\/\/www.equentis.com\/blog\/different-types-of-share-market-you-should-know\/","title":{"rendered":"Different Types of Share Market You Should Know\u00a0"},"content":{"rendered":"
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What is a share market?<\/strong><\/h2>\n\n\n\n

The share market<\/a> is the market for trading publicly listed securities. It is also often referred to as the stock market<\/a>. The share market is a platform that brings together buyers and sellers of listed securities. It is where big and small companies raise funds by offering a part of their companies to investors. Businesses and even government companies can participate in the share market trading.  <\/p>\n\n\n\n

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How to invest in share market<\/a><\/div>\n\n\n\n
Share Market Tips<\/a><\/div>\n\n\n\n
Share Market Basics for Beginners<\/a><\/div>\n<\/div>\n\n\n\n

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In stock market investing anywhere in the world, one can see different types of share market. In the following sections, we will look at two market types in the stock market.<\/p>\n\n\n\n

What are the Two Kinds of Share Markets?<\/strong><\/h2>\n\n\n\n

In India, the two market types in stock market are the Primary Market and the Secondary Market. <\/p>\n\n\n\n

The primary market is one of the types of share market and is also known as the \u2018new issue market\u2019 or the \u2018primary issuance market\u2019. It is the market where newly issued securities are bought and sold for the first time. <\/p>\n\n\n\n

Another types of share market is the secondary market, or the market for publicly traded securities. It means a company has already issued an IPO in the primary market and has listed on the stock exchange<\/a>. Here, the buyers and sellers buy or sell a stock at a price that is expected to give them a profit.\u00a0\u00a0\u00a0\u00a0<\/p>\n\n\n\n

Primary share market:<\/strong> In the primary types of share market, corporates or government companies raise capital by issuing new securities such as debt, equity and bonds. Here, securities are created and can be issued in domestic and international markets. Here, securities are issued directly to the investors to set up new businesses, or to expand the existing business.  <\/p>\n\n\n\n

The different types of issues that take place in the primary types of share market to raise funds in the primary market are Initial Public Offers (IPO<\/a>), Follow-on Public Offers, Offers for Sale, issuing Indian Depository Receipts, private placement, Rights Issue, Preferred Allotment, Qualified Institutional Placement, Rights Issue and Bonus Issue.<\/p>\n\n\n\n

Functions of a Primary Market<\/strong><\/h2>\n\n\n\n

A primary types of share market performs three important functions, and they are as follows:<\/p>\n\n\n\n