What are the major types and classifications of markets?
When we talk about the markets, we usually refer to financial asset markets. However, there some other markets. These markets can be grouped as pairs as the following;
- Physical markets (for real assets) versus financial asset markets
- Spot markets (having immediate delivery) versus derivatives markets (having future delivery)
- Money markets (time to maturity is smaller than one year) versus capital markets (time to maturity is higher than one year)
- Mortgage markets versus consumer credit markets
- Primary markets (IPOs) versus secondary markets (seasoned offering)