Securities underwriting - where stocks or bonds first issued and sold to investors (e.g. IPO)

Companies or governments

Principal or agency trading - where securities were traded by majority of investors. Far more important than Primary market, creating supply/demand and liquidity of market.

security dealer; institutional and individual investors

security price determined by bid and ask price of buyer and seller at a central trading location.

Most major stock markets, like TSX are Auction market

Also known unlisted market, where securities are bought and sold over-the-counter. Dealer acts as principals to buy and sell securities for clients. No central trading location. Securities price less visible.

Bonds, debentures, unlisted OTC equities are traded trhough dealer market. Market size is much larger than Auction market.

Also known as stock market, where the shares of most publicly listed companies are trade.

Most major stock markets, like TSX are Auction market