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Once a company completes its IPO, the company's stock starts trading in the aftermarket, also called the secondary market. After the IPO, investors can buy

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Once a company completes its IPO, the company's stock starts trading in the aftermarket, also called the secondary market. After the IPO, investors can buy and sell a company's stock in the secondary markets. Examples of US secondary equity markets include the New York Stock Exchange (NYSE), American Stock Exchange (AMEX), and Nationat Association of Securities Dealers Automated Quotations (NASDAQ). They list hundreds of stocks. An active secondary market stock offers several benefits to shareholders and the issuing company. True or faise: Listing a stock on an exchange can lead to a decrease in the cost of equity for the firm and an increase in the value of the firm's stock. True False The SEC and the National Association of Securities Dealers (NASD) regulate trading activity in exchanges to prevent unlawful activities. True or false: The SEC monltors insider trading so that insiders don't take advantage of their position at the expense of other shareholders. True Fatse A dealer who holds a certain inventory of the shares of a particular company and then offers to buy or sell that company's stock is said to be True nventory of the shares of a particular company and then offe

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