Question : Which feature of capital market is highlighted in the given statement?
Statement: It is the nature of capital market to established balance between the supply and the demand side.
Option 1: Creating liquidity
Option 2: Capital formation
Option 3: Trade off functions
Option 4: None of the above
Answer (1)
11th Jan, 2024
Correct Answer: Trade off functions
Solution : Capital market refers to that market where transaction in long term securities are made. It performs trade off functions. It is the nature of the capital market to established balance between the supply and the demand side.
Hence, option C is correct.
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