Type of financial markets in which corporations issues new funds to raise funds is classified as

A. flow market

B. primary markets

C. secondary markets

D. funding markets

Answer: Option B

Solution(By Examveda Team)

Type of financial markets in which corporations issues new funds to raise funds is classified as primary markets. The primary market is where securities are created. It's in this market that firms sell (float) new stocks and bonds to the public for the first time. An initial public offering, or IPO, is an example of a primary market.