What are The significance of secondary market?

The secondary market is crucial for providing liquidity, allowing investors to buy and sell securities after their initial issuance, which helps establish fair market prices. It enhances price discovery, enabling more accurate valuation of assets based on real-time supply and demand dynamics. Additionally, it provides a platform for investors to adjust their portfoliOS, manage risk, and access capital more efficiently. Overall, a well-functioning secondary market contributes to the overall stability and attractiveness of the financial system.