The primary market is the market where securities are issued to investors for the first time. This is also called the IPO market or the Initial Public Offering market. Secondary market refers to a market where securities are traded after being initially offered to the public in the primary market and/or listed on the Stock Exchange. Majority of the trading is done in the secondary market. In fact, when you log into your internet trading account to buy 40 shares of SBI or sell 50 shares of RIL, you are actually dealing in the secondary market for shares. Primary markets can also be seen as being synonymous with an Initial Public Offering (IPO). Simply put, an IPO occurs when a private company sells stocks to the public for the first time to raise money or to give an exit to its initial capital providers. The secondary markets are usually what people refer to when they talk about the stock markets. The colloquial term “Bazaar” refers to the secondary market.