Securities market

Companies, governments or public sector institutions can obtain funding through the sale of a new stock or bond issue.

Dealers earn a commission that is built into the price of the security offering, though it can be found in the prospectus.

With primary issuances of securities or financial instruments, or the primary market, investors purchase these securities directly from issuers such as corporations issuing shares in an IPO or private placement, or directly from the federal government in the case of treasuries.

The secondary market for a variety of assets can vary from loans to stocks, from fragmented to centralized, and from illiquid to very liquid.

Bond, Promissory note, Cheque – a security contains requirement to make full payment to the bearer of cheque, Certificate of deposit, Bill of Lading (a Bill of Lading is a "document evidencing the receipt of goods for shipment issued by a person engaged in the business of transporting or forwarding goods."

They differ from IOU's in that they contain a specific promise to pay, rather than simply acknowledging that a debt exists.

It is intended that the CD be held until maturity, at which time the money may be withdrawn together with the accrued interest.

Investors get one vote per share to elect the board members, who oversee the major decisions made by management.

Over the long term, common stock, by means of capital growth, yields higher returns than almost every other investment.

Preferred stock may also be callable, meaning that the company has the option to purchase the shares from shareholders at any time for any reason (usually for a premium).

Professional participants in the securities markets – legal persons, including credit organizations, and also citizens registered as business persons who conduct the following types of activity: preparation of bookkeeping documents thereon) and in offsetting these obligations in deliveries of securities