Question : Which market provides a platform for trading of government securities?
Option 1: Stock market
Option 2: Commodity market
Option 3: Forex market
Option 4: Bond market
Correct Answer: Bond market
Solution : The correct answer is (d) Bond market.
The bond market provides a platform for the trading of government securities. Government securities are debt instruments issued by governments to raise funds. These securities typically include treasury bonds, treasury bills, and treasury notes, which are issued by government entities.The bond market encompasses the buying and selling of various types of bonds, including government bonds, corporate bonds, and municipal bonds. It allows investors to trade these fixed-income securities among themselves. Government securities are an important component of the bond market, and they are actively traded by investors seeking fixed-income investments.
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