Secondary market refers to a market where already issued securities are traded among investors. This term is commonly used in stock and bond markets. Other synonyms for secondary market include aftermarket, second market, resale market, or used market. The secondary market enables investors to buy and sell securities based on their market value rather than their face value. This market provides liquidity to investors, allows them to diversify their holdings, and facilitates pricing efficiency. Although the secondary market is often associated with stocks and bonds, it can also include other financial products such as options, futures, and derivatives.