2. Types of financial markets Aa Aa Financial markets across economies involve various kinds of participants and trade various types of assets and securities. It is important to understand the kinds of markets in which financial transactions take place. You are preparing to take an exam in your finance class, and you've been making flash cards on different markets and transactions. Indicate the markets in which each of the following transactions will be traded: Description of Transaction Type of Market TE Helen buys 1,000 shares of Microsoft stock through her online brokerage account. Financial asset markets Physical asset markets Assignment 02 - Financial Markets and Institutions the exchange rate on that day. Description of Transaction Type of Market Fuller Corp. issues 100,000 shares of new stock. Capital markets Money markets capital markets Description of Transaction Type of Market An investor holding 3,000 shares of stock of Strata Corp. sells them to another investor. Primary markets Secondary markets A bank purchased a credit default swap from another financial institution to protect itself against the default of one of its borrowers. In this example, the bank is