Module A – Indian Financial System - Topic 1

Summary

This script offers an in-depth look at the Indian financial system, explaining the roles of economic units, the importance of savings and investments, and the flow of funds from surplus to deficit areas. It delves into financial markets, instruments, and intermediaries, highlighting the distinction between formal and informal systems. The script also covers the functions of the financial system, types of financial institutions, and the bifurcation of financial markets into capital and money markets, providing a comprehensive foundation for understanding India's economic framework.

Takeaways

• 🏦 The Indian financial system is an intermediary that facilitates the flow of funds from areas of surplus to areas of deficit.
• 💼 It involves three main economic units: the corporate sector, the government, and the household sector, each playing a role in the savings and investment process.
• 📈 The financial market is a place for buying and selling goods and services, characterized by price discovery and competition among buyers and sellers.
• 💡 Savings are considered deferred consumption, and individuals seek compensation in the form of returns for postponing their consumption.
• 📉 Inflation can lead to dis-savings if savings are kept idle, hence the need to direct savings towards investments to combat the time value of money.
• 🏢 Seekers of funds are typically business firms or the government, which require funds for growth, expansion, or public expenditure.
• 👥 Suppliers of funds are households and individuals with savings, whose money is pooled and directed towards seekers of funds.
• 🔍 Investors conduct fundamental and technical analysis to assess the risk and potential returns of different investment avenues.
• 📊 An individual's investment decision is influenced by their risk appetite, returns expectation, and the liquidity of the investment.
• 🏦 The Indian financial system is divided into formal and informal sectors, with the formal sector being more regulated and institutionalized.
• 📚 Financial institutions in India include banks, mutual funds, insurance companies, and housing finance companies, each serving as intermediaries in the financial system.

Q & A

What is the basic concept of a financial market?

A financial market is a place where the buying and selling of goods and services, specifically financial products, take place. It involves two categories of people: buyers and sellers, with price discovery and competition being key features.

What are the three main economic units in a country that interact within the financial system?

The three main economic units in a country are the corporate sector, the government, and the household sector. These sectors either have surplus funds or are in need of funds, and the financial system facilitates the flow of funds between them.

What does the term 'savings' represent in the context of the script?

In the script, 'savings' represents the residual income after consumption, which is essentially deferred consumption. It is the income that is not immediately spent and is set aside for future use or investment.

Why is it not advisable to keep savings idle in a cupboard according to the script?

Keeping savings idle in a cupboard is not advisable because of inflation, which causes prices to rise over time. This can lead to a decrease in the purchasing power of the saved money, effectively turning savings into dis-savings.

What is the role of financial institutions in the financial system?

Financial institutions act as intermediaries in the financial system, channeling funds from suppliers (savers) to seekers (borrowers). They offer various financial services and products to attract suppliers and facilitate the efficient allocation of resources.

What are the two types of analysis an individual typically conducts before making an investment decision?

The two types of analysis an individual conducts before making an investment decision are fundamental analysis and technical analysis. These analyses help investors assess the potential returns and risks associated with different investment options.

What are the main objectives of a financial system?

The main objectives of a financial system include facilitating the flow of funds between savers and investors, mobilizing and allocating resources efficiently, providing a market for creating and exchanging financial assets, and managing risks and providing price information.

How is the Indian financial system categorized?

The Indian financial system is categorized into the formal and informal sectors. The formal sector is organized, regulated, and institutionalized, while the informal sector is unorganized and unregulated.

What are the different types of scheduled commercial banks mentioned in the script?

The script mentions four types of scheduled commercial banks: public sector banks, private sector banks, foreign banks, and regional rural banks. Each type has different ownership structures and regulatory oversight.

What are the two main categories of non-banking financial institutions?

The two main categories of non-banking financial institutions are Non-Banking Financial Corporations (NBFCs) and Development Financial Institutions (DFIs). NBFCs provide a range of financial services, while DFIs focus on the development of specific sectors.

What distinguishes the capital market from the money market in the context of financial markets?

The capital market is for long-term investments and involves instruments that are generally perpetual in nature. In contrast, the money market is for short-term instruments and is used for controlling monetary policies by central banks like the RBI.

Outlines

00:00

📈 Introduction to the Indian Financial System and Market Basics

The script begins by setting the context for a discussion on the Indian financial system. It introduces the concept of financial markets as places where goods and services are traded, involving buyers and sellers. The importance of price discovery and competition in these markets is highlighted. The Indian financial system is explained as an intermediary that facilitates the flow of funds from surplus areas to deficit areas. The script uses the economic formula Y=C+S to illustrate how total income is divided into consumption and savings, emphasizing the role of savings as deferred consumption that should be invested wisely to earn returns and combat inflation. The need for financial institutions to convert savings into investments is also discussed.

05:01

🏦 Understanding the Seekers and Suppliers of Funds in the Financial System

This paragraph delves into the roles of seekers and suppliers of funds within the financial system. Seekers of funds are typically businesses or the government, which require funds for various purposes such as growth, expansion, or public expenditure. Suppliers of funds are households with savings. The flow of funds from suppliers to seekers is described, along with the financial services provided in return. The importance of analyzing the risk and return potential of investments is stressed, including the concepts of fundamental and technical analysis. The paragraph also touches on the different temperaments of investors, such as risk-averse, risk-takers, and risk-neutral individuals, and how these affect investment decisions.

10:01

💼 The Functions and Objectives of the Financial System

The script outlines the functions and objectives of a financial system. It highlights the role of the financial system in economic growth, capital formation, and the allocation of resources. The system acts as an intermediary between savers and investors, facilitating the flow of funds and providing financial services. The paragraph also discusses the importance of the payment system, pooling of funds, transfer of resources, risk management, and price information as essential functions of the financial system. The Indian financial system is described as having both formal and informal sides, with the formal side being regulated and organized, while the informal side is unregulated.

15:03

🏦📊 Classification of Financial Institutions and Markets in India

This paragraph provides a detailed classification of financial institutions and markets in India. It distinguishes between banking institutions, non-banking financial institutions, mutual funds, and insurance and housing finance companies. Banking institutions are further divided into scheduled commercial banks and scheduled cooperative banks, with the former being subdivided into public sector banks, private sector banks, foreign banks, and regional rural banks. Non-banking financial institutions are categorized into non-banking financial corporations and development financial institutions. The paragraph also introduces the concept of financial markets, including capital markets and money markets, and their respective instruments.

20:04

🏦💼 Overview of Financial Institutions and Markets in the Indian Financial System

The final paragraph offers an overview of the financial institutions and markets that constitute the Indian financial system. It reiterates the role of banks, non-banking financial institutions, and development financial institutions in enhancing specific sectors of the economy. The paragraph also discusses the bifurcation of financial markets into capital and money markets, explaining the nature of investments and instruments associated with each. The script concludes by mentioning the further exploration of these topics in upcoming sessions, indicating a comprehensive coverage of the Indian financial system.

Keywords

💡Financial Markets

Financial markets are places where the buying and selling of financial securities, such as stocks, bonds, and commodities, take place. In the video's context, financial markets are essential for understanding the Indian financial system, as they facilitate the flow of funds from areas of surplus to areas of deficit. Examples from the script include the money market, capital market, and forex market, each serving different financial needs and having distinct features.

💡Economic Units

Economic units refer to the primary sectors within an economy that interact with the financial system. In the video, three main economic units are mentioned: the corporate sector, the government, and the household sector. These units are integral to the functioning of the financial system as they represent the entities that either have a surplus of funds or require funds, thus driving the need for financial intermediation.

💡Price Discovery

Price discovery is the process by which the price of a good or service is determined in a market through the interaction of buyers and sellers. In the video, it is mentioned as a basic feature of a financial market, emphasizing the role of demand and supply in determining the price of goods and services. This concept is crucial for understanding how financial markets operate and allocate resources efficiently.

💡Surplus Funds

Surplus funds are the residual income left after all consumption has taken place. In the video, surplus funds are discussed as the basis for savings, which are then directed towards investments. The concept is vital for understanding personal finance and the role of savings in the economy, as it highlights how individuals allocate their income beyond immediate consumption needs.

💡Savings

Savings, in the context of the video, refer to the portion of income that is not immediately consumed but is set aside for future use or investment. Savings are described as deferred consumption, where individuals forgo immediate benefits in anticipation of future returns. This concept is central to the theme of financial planning and investment within the Indian financial system.

💡Inflation

Inflation is the rate at which the general level of prices for goods and services is rising, and subsequently, the purchasing power of currency is falling. In the script, inflation is mentioned as a factor that can erode the value of idle savings, turning them into dis-savings. This highlights the importance of investing savings wisely to protect and grow one's wealth against the backdrop of inflation.

💡Investments

Investments are the use of saved funds to acquire financial assets with the expectation of generating returns over time. In the video, investments are discussed as a means to convert savings into productive assets, emphasizing the role of financial institutions in channeling these funds from savers to seekers of funds. The concept is key to understanding the dynamics of capital allocation within the financial system.

💡Financial Intermediation

Financial intermediation refers to the process by which financial intermediaries, such as banks and mutual funds, channel funds from those who save to those who require funds for investment. In the video, financial intermediation is a core function of the financial system, highlighting how it facilitates the flow of funds and the allocation of resources in the economy.

💡Risk Appetite

Risk appetite is the willingness of an investor to take risks in pursuit of higher returns. In the video, it is mentioned as a factor that influences an individual's investment decisions, with different investors having different levels of risk tolerance. This concept is important for understanding how investors choose their investment avenues based on their personal risk preferences.

💡Liquidity

Liquidity in the context of the video refers to the ability to convert an investment into cash quickly and with minimal loss in value. It is discussed as an important consideration for investors when choosing where to allocate their funds, as it reflects the ease with which investments can be bought or sold in the market. This concept is crucial for understanding the flexibility and safety of different investment options.

💡Financial Institutions

Financial institutions are organizations that do the business of banking, insurance, or other financial services. In the video, various types of financial institutions are mentioned, including banks, mutual funds, insurance companies, and non-banking financial corporations. These institutions play a critical role in the Indian financial system by providing services that facilitate savings, lending, and investment activities.

💡Regulators

Regulators in the financial system are authorities that oversee and supervise the operations of financial institutions to ensure stability and compliance with regulations. In the script, regulators such as the Ministry of Finance, RBI, SEBI, and IRDA are mentioned. They are essential for maintaining the integrity and efficiency of the financial markets and protecting the interests of investors and the public.

Highlights

Introduction to the concept of financial markets as a place for buying and selling goods and services with price discovery and competition.

Explanation of the Indian financial system's role as an intermediary facilitating the flow of funds from surplus to deficit areas.

Discussion of the three economic units in a country: corporate sector, government, and household sector.

Importance of savings as deferred consumption and the need for compensation in the form of returns.

The negative impact of inflation on idle savings and the necessity of directing savings towards investments.

Identification of seekers of funds such as business firms and government, and suppliers of funds like households.

The role of financial services in attracting suppliers of funds through a variety of products and services.

Investors' concerns about returns, risk, and liquidity when choosing investment avenues.

The significance of fundamental and technical analysis for investors to make informed decisions.

Different investment temperaments based on risk appetite, such as risk-averse, risk-takers, and risk-neutral individuals.

Objectives of the financial system, including economic growth, capital formation, and efficient allocation of resources.

Functions of the financial system, such as the payment system, pooling of funds, transfer of resources, and risk management.

Components of the Indian financial system, including financial markets, financial intermediaries, and financial instruments.

Difference between formal and informal financial systems, with the former being regulated and institutionalized.

Categories of financial institutions in India, including banking institutions, non-banking financial institutions, mutual funds, and insurance companies.

Subdivision of banking institutions into scheduled commercial banks and scheduled cooperative banks, regulated by the RBI.

Further categorization of scheduled commercial banks into public sector banks, private sector banks, foreign banks, and regional rural banks.

Introduction to non-banking financial institutions, including non-banking financial corporations and development financial institutions.

Bifurcation of financial markets into capital markets for long-term investments and money markets for short-term instruments.

Transcripts

[Music]

you

[Applause]

good morning friends today we are going

to speak about the Indian financial

system before we start with the Indian

financial system and overview I would

just like to know from your end what is

your understanding about the financial

markets

now friends financial market a market

let us not talk about not financial

markets let us basically understand what

is the market all about a market is a

place where buying and selling of goods

and services take place buying and

selling of goods and services take place

so what will happen is there will be two

category of people who are going to be

there in the market that is the buyers

and the sellers the trade takes place

between the buyers and the sellers there

is a price discovery and there is

competition so the basic features of a

financial market is that there are

buyers and sellers there is price

discovery because of the demand and

supply as we all know in economics we

have studied demand and supply will lead

to price discovery will determine the

price of the products of the goods and

services and there is a lot of

competition that exists in the market to

start with the Indian financial system

there are basically three economic units

in a country which are they they are the

corporate sector the government and the

household sector there are areas of

people with surplus funds and there are

those with a deficit a financial system

functions as an intermediary and

facilitates the flow of funds from the

areas of surplus to the areas of deficit

I would like to explain you with this

with an example friends we all know

about this formula we have studied in

economics y is equal to c plus s what do

you mean by this it says the total

income of an individual comprises of two

main components that is consumption and

surplus

now when I say surplus there has to be

some residual income after all the

consumption that takes place whatever is

leftover is my residual income and that

is said to be my surplus or that is

going to make my savings now what does

savings actually friends savings there's

something which is a deferred

consumption what do you mean by

different consumption different

consumption means postponing your

consumption when I am postponing my

consumption it means that I am forgoing

some benefits that would have come

through the consumption of a particular

good or service now if I am deafening a

consumption I am postponing it I would

definitely like to have a compensation

for the postponement right what is the

compensation I will get I will get it in

the form of some returns so when I say

yes I have deferred my consumption there

has to be some compensation that has to

come for my deferred consumption and it

comes through savings so when I say my

total income comprises of consumption

and savings I will like to have some

compensation for these savings now

friends when I say savings if I just

keep the money idle in the cupboard is

it called as a savings no it will not be

called as the savings why because it is

actually leading to dis savings because

of the inflation the prices are going to

keep rising and as we have started in

time value of money that savings will

actually lead to dis savings because of

the inflation and later on after a year

or so and I actually want to use that

savings it will not help me in any which

ways why because the prices of goods

might have have gone high or during that

course of time now friends in order to

have a good savings what I actually need

earth I need to direct that savings

towards some investments now from where

do I get the investments there has to be

some place or some department some

organization which can help me to

convert my savings

into an investment there has to be some

category of people who are the seekers

of fronts so if you can have a look at

the particular diagram it bifurcates the

to bifurcate the whole economic unit

into two major categories which are the

two major categories one is seekers of

funds now who are the seekers of funds

prints they are basically the business

firms or the government because they are

always in deficit they will always like

to have funds for growth for expansion

for modernization or for public

expenditure if we are talking about the

government yes they need funds for

taking care of the public expenditure

now these are the seekers of funds right

in that is one category of people and

there is another category of people who

are the suppliers of fund now who are

the supplies of funds friends the

suppliers of funds are the households

the people like you and me who have

meager savings with us right and all

these savings are going to be

accumulated together and are going to be

directed towards the seekers of funds

right so these seekers of funds are

going to get the fund that is a flow of

funds in the form of savings are going

to move from the suppliers to the

seekers of funds right and when it moves

the flow of funds happen there has to be

something that has to come from the

Seekers to the suppliers also what is

that coming in the flow of financial

services there will be a platter of

goods and services that will be made

available by the Seekers to the

suppliers of funds why because I need to

attract the suppliers with some gamut of

products or services which will help

them to take a decision as to this will

be the right choice for putting my

savings into because it is hard-earned

income

Prince when it is a hard-earned income I

would always love to put my hard-earned

income in such a place where I am pretty

sure about the returns I am pretty sure

about the principal coming back to me

right so I am not only concerned about

the returns but I am basically more

concerned about my principal right so

when any individual

likes to do any type of investment that

is as I said my deferred consumption

gets converted into savings and savings

when is passed on to investments

definitely I would like to get some good

returns right and before I make a choice

before I take a decision as to where I'm

going to allocate my funds or where I'm

going to invest my money my hard-earned

money I have to do a proper analysis now

what is that analysis that is running

but my homework I need to do a proper

homework right and what is that homework

their homework is a study about the

seekers of the funds right so I would

like to understand that the seekers of

the funds what are what is their profile

whether they are pretty secured places

wherein I can put my money and I can be

rest assured of the principle as well as

the returns right so the returns can

come in the form of interest it can come

in the form of a dividend so I will be

more concerned about these two things so

whenever an individual he if he does any

investment he does his homework well and

his homework will be done in the form of

an analysis right the analysis is

bifurcated into two types which are the

two types of analysis which individual

does we are going to elaborate the

analysis later but just for your

understanding the two types of analysis

which an individual does before taking

the call where he is going to allocate

his funds are the fundamental analysis

and the technical analysis right so when

a fundamental and technical analysis is

done

it will help the investor to take a

decision to to be rest assured that yes

this is the right place where I can put

my money right so he does his analysis

depending on the temperament so every

individual is not going to have the same

temperament nor does temperament that is

what is my risk appetite so when I talk

about the investment avenues or when I

talk about the various platter of

services available in the market I would

always like to put in my funds in that

area which are going up which are aware

I'm acclimatized to the

same manner in which the which the

investment is now before I take a call

on the type of investment I will I will

have the basic temperaments which the

investor has now which are the various

temperaments which an investor has the

investor would look for definitely for

the returns right friends so he will be

more concerned about the returns

secondly the risk factor depending on

his risk appetite whether is a

risk-averse person whether reserve risk

taker whether is a risk neutral on these

bases he will decide where he is going

to put his money his hard-earned money

so his basic objective of doing an

investment will be on returns risk and

the most important thing will be the

liquidity so when I talk about any

investment whenever I locate my funds

when I mobilize my funds towards a

particular category of investment

avenues I would always love to know what

is the returns I can expect out of this

investment what is the risk I am taking

for for compensating on my consumption

and what does the liquidity what is the

marketability of those securities where

I am investing right so the financial

system function is an intermediary it is

acting as an intermediary between these

two category of people so what flows

from the sequence of the funds is it is

the financial services and what the

suppliers get from these financial

services is the income and the financial

claims which the filter which the

suppliers will have from the seekers so

coming to the financial system friends

financial system has various objectives

now what are the objective of a

financial system firstly a financial

system plays a vital role in the

economic growth of a country it

intermediates intermediates with the

flow of funds between who save a part of

their income as we have already talked

about to those who invade

in productive assets now definitely when

I do any type of investment I would be

more concerned about where it is going

to be allocated right so in my

hard-earned income where it is going to

be used is what is my major concern why

because as I said earlier I am more

concerned about the returns I as well as

the security of my principal so when I

say yes the flow of funds take place the

flow of funds take place from the savers

that is the savers of the funds the

household people right who have who have

a saving and it is given or it is passed

on to those people who are going to

invest the same money into productive

assets right so what financial system

does is it mobilizes and use usefully

allocate the scarce resources of a

country it physically it facilitates the

capital formation by providing a link

between the savers and investors right

so they act as an intermediary the

financial system is an intermediary

between the savers and the investors a

market for creating and exchanging of

financial assets it performs the

following functions essential for the

modern economy now what are the

functions which are being performed by

the financial system that is firstly the

payment system pooling of funds transfer

of resources risk management which is

very important as on today and then the

price information right friend so we are

going to elaborate all these essential

functions in length to start with the

Indian financial system basically

consists of three important parts now

what are the three important parts of a

financial system one is the financial

markets right so as we said financial

market is a place where the buying and

selling of financial products take place

so it can be a money market capital

market forex market the features of each

market will be explained in length in

the coming sessions talking about the

financial instruments and I definitely

when I say financial markets the markets

are a platform right a platform where we

are going to deal in various financial

instruments now which are the financial

ins

humans that are going to be dealt in the

financial markets it can vary from loans

deposits bonds equity products and hence

henceforth financial intermediation now

from the third category which comes with

Indian financial system consists of is

financial intermediation now who are the

intermediaries that participate in the

Indian financial system are the bands

the mutual fund the insurance companies

so these are the intermediaries who help

for channelizing the funds from the

savers to the Seekers right so Indian

financial system is bifurcated into two

one is the formal side and the informal

side now if you can have a look at the

chart it clearly explains the basic two

categorization of the Indian financial

system the two categories are the formal

that is the organized more regulated

institutionalized form of the financial

system and the other one is an informal

unorganized and unregulated financial

system right informal organization we

have the regulator's right the

regulator's can be Ministry of Finance

it can be RBI it can be saving it can be

irda so these are the players who are

going to act as regulators of the

financial system then we have the

financial institutions like the banks

right they are also a category of the

formal financial system then we have the

financial markets as I said earlier we

have various financial markets and then

the financial instruments and the

financial services so all are collated

together to form a formal organized

financial system whereas the unorganized

financial system comprises of the

moneylenders the local brokers then it

can be traders landlords and pawn

brokers right so they are not being

regulated by any of the regulator's

that's the reason they can do things as

per their whims and fancies they can

charge exorbitantly for the for their

Lending's coming to the financial

institutions the financial institution

a further bifurcated into four major

types now which are between major four

types of financial institutions that are

existing in India first is the banking

institutions right then the non banking

institutions mutual funds insurance and

housing finance companies right so the

major four categories of financial

institutions are banking institution non

banking institutions mutual funds and

insurance and housing finance companies

now coming to the first one banking

institutions now the banking

institutions are further subdivided into

two major types which are the two major

types of financial institutions they are

scheduled commercial banks right and

scheduled cooperative banks right they

are being regulated by RBI RBI is the

regulator of all the banking

institutions existing in India so

Reserve Bank of being an regulator

regulates the working of all the

scheduled commercial banks and the

scheduled cooperative banks under

scheduled commercial banks we again have

a bifurcation into four major categories

which are the four major types of

scheduled commercial banks friends the

first one is public sector banks right

like we have State Bank of India we have

Bank of Baroda we have Indian banks so

these are all coming in the category of

public sector banks then we have private

sector banks like HDFC acts as I say say

buying IDBI so all these are private

sector banks right and then we have

foreign banks like stand Standard

Chartered we have Deutsche a then there

many more who are in the pipeline who

are going to start their business in

India then we have regional rural banks

which are functioning at the Rue Durland

right so the scheduled commercial banks

are bifurcated into the four major

category public sacred mine there is a

major contribution that comes from the

government right so more than 51 percent

of the equity is by the government in

public sector banks we have a

participation coming in from the

government whereas in public private

sector banks there is hardly any

contribution from the government side

they are private players

who are do who are doing the business of

banking and then we have foreign banks

we are which are for which are having

their registered office which have their

head offices in some other country but

then they have started functioning in

India right

coming to the non banking financial

institutions friends the non-banking

financial institutions are categorized

into two main categories now which are

the two main categories of non-banking

financial institution they are the NBA

FCS right that is non banking financial

corporations and the df' is now one of

the deifies they are the Development

financial institutions right so the

rebel main financial institutions were

started with an objective of enhancing a

particular sector they were they were

made they were majorly concentrating on

the development of the industrial sector

the agricultural sector in India and

that was objective of starting with the

development financial institutions the

non-banking financial corporations can

be ranging from equipment leasing

company they can be a higher purchase

finance company it can be an investment

company it can be a loan company or it

can be residual non banking finance

companies so anything anyone which don't

fall in the category of the first four

categories they will come in the fifth

category of NB FC so coming to the

development financial institutions as I

say they were the objective of coming in

with the development financial

institutions was to develop a particular

sector right at the national level we

had IFC I we had IDBI we have III bi we

have IDF C we have nabad we have Exim

Bank and we have n HP right so these are

as these are performing their functions

at a national level right at the state

level also we have development financial

institutions focused on the growth and

development of various sectors that is

the SF C's and the SI d C's right and

coming to the DF is development

financial institutions also have ECG CD

I CDC we are going to study in length of

all these government financial

institutions in the coming sessions

today we are just trying to cover up an

overview off of it Indian financial

system friends now financial markets are

bifurcated now we have already spoken

about the financial institutions right

now coming to the next category of the

formal organized financial system is the

financial markets financial markets are

bifurcated into two types one is capital

market and money market now what is the

capital market French capital market is

a market for long term investments right

most of the investments that take place

in a capital market are perpetual in

nature right so if an investor has a

objective of investing his funds for a

longer period for long term investments

definitely he would love to go in

towards the capital market money market

basically is a market for short term

instruments and they are used by the by

the RBI for controlling the monetary

policies right so they are basically

short-term in nature right the money

market instruments can range from

Treasury bill call money notice money it

can be your commercial bill it can be

commercial papers it can be certificate

of deposits term money etc in case of

the capital markets as I said they are

long-term investments it will range from

equity market that is equity market

which deals in in equity shares then we

have a debt market wherein we have

different types of bonds and debentures

and then the derivative market every

market has its own features right and

every every market has a different types

of instruments which are dealt in that

market so in depth ma when we talk about

the equity market or the decks market

there is again further bifurcation as

primary markets and secondary markets