sekundärmarknadsfört

Sekundärmarknadsfört is a Swedish term that translates to "secondary market trading" or "secondary market transaction." It refers to the buying and selling of securities that have already been issued by a company or government entity. This is distinct from the primary market, where securities are sold for the first time directly by the issuer to investors.

In the secondary market, investors trade among themselves, with exchanges like the Nasdaq Stockholm acting as organized marketplaces for these transactions. When an investor buys a stock on the secondary market, they are purchasing it from another investor who is selling it, not from the company that originally issued the stock. Similarly, when an investor sells a stock on the secondary market, they are selling it to another investor.

The existence of a liquid secondary market is crucial for the functioning of financial markets. It provides investors with the ability to buy and sell securities after their initial issuance, which in turn makes the primary market more attractive. Investors are more willing to purchase securities in the primary market if they know they can easily sell them later if needed. Prices in the secondary market are determined by supply and demand, reflecting investors' perceptions of the issuer's value and future prospects.