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Question : Which feature of capital market is highlighted in the given statement?
Statement: The chief function of the capital market is to provide a platform for the sale and purchase of securities.
 

Option 1: Creating liquidity

Option 2: Capital formation

Option 3: Trade off functions

Option 4: None of the above 

 


Team Careers360 16th Jan, 2024
Answer (1)
Team Careers360 22nd Jan, 2024

Correct Answer: Creating liquidity


Solution : Capital market helps in creating liquidity.The chief function of the capital market is to provide a platform for the sale and purchase of securities. Therefore this market helps in creating liquidity in securities. 

Hence, option A is correct.

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