Which of the following statements is CORRECT?
a. An example of a primary market transaction would be your uncle transferring 100 shares of Walmart stock to you as a birthday gift.
b. While the two frequently perform similar functions, investment banks generally specialize in lending money, whereas commercial banks generally help companies raise large blocks of capital from investors.
c. Capital market instruments include both long-term debt and common stocks.
d. The NYSE does not exist as a physical location. Rather it represents a loose collection of dealers who trade stock electronically.
e. If your uncle in New York sold 100 shares of Microsoft through his broker to an investor in Los Angeles, this would be a primary market transaction.

Respuesta :

Answer:

C) Capital market instruments include both long-term debt and common stocks.

Explanation:

Capital market instruments include several types of financial instruments like stocks, bonds, US securities, foreign exchange, etc.

Since these financial instruments are basically debt and equity instruments, they are called securities. So another term used to refer to capital markets is the securities market. Capital markets are divided into two main classifications: primary markets where recently issued securities are traded, and secondary markets where investors trade previously acquired securities.