Trading & MarketsQuestion 95 of 125
The third market refers to:
a.Trading of new issues
b.Trading of foreign currencies
c.Exchange-listed securities traded over-the-counter, often between institutions
d.Options traded on an exchange
Explanation
The third market is the trading of exchange-listed securities in the over-the-counter market, frequently involving institutional investors and market makers away from the primary exchange. The fourth market, by contrast, refers to direct institution-to-institution trading, often through electronic networks.
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