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Capital Markets
Financial markets that facilitate the buying and selling of securities.
Implications
The financial markets where long-term debt or equity-backed securities are bought and sold, providing companies with access to funding and investors with opportunities to invest in securities.
Example
Example: A company raises capital for expansion by issuing bonds in the capital markets, attracting institutional investors looking for long-term returns.
Related Terms
Different from money markets, which deal with short-term debt instruments, capital markets focus on longer-term securities and investments.
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