The
capital market is the
market for long-term loans and
equity capital.
Companies and the
government can raise funds for long-term investments via the capital market. The capital market includes the
stock market, the
bond market[?], and the
primary market.
Securities trading on organized capital markets is monitored by the government; new issues are approved by authorities of
financial supervision and monitored by participating
banks. Thus, organized capital markets are able to guarantee sound
investment opportunities.
See also: Financial market