financial market is a mechanism that allows people to easily buy and sell Trade financial Securities (such as stocks and bonds), Commodity commodities , and other items of value at low Transaction cost transaction costs and at prices that reflect the Efficient-market hypothesis efficient-market hypothesis.
In Economics, typically, the term market means the aggregate of possible buyers and sellers of a thing and the transactions between them.
The term “market” is sometimes used for what are more strictly exchanges, organizations that facilitate the trade in financial securities, e.g. Stock exchange.
Types of financial markets
- Capital markets
- Stock markets
- Bond markets
- Commodity markets
- Money markets
- Derivatives markets
- Futures markets,
- Insurance markets
- Foreign exchange markets
