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What is the difference between Primary market and secondary market?

Hi Everyone! I wouldn't be bothering but this seems far above my caliber. Do you know about the major differences between the Primary market and secondary market?
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captainamerica
"Primary market • The primary market is that part of the capital markets that deals with the issuance of new securities. Primary market provides opportunity to issuers of securities, Government as well as corporate, to raise resources to meet their requirements of investment and/or discharge some obligation. • Equity Capital is raised in Primary Market. It can be raised through Public or primary Issue, Right Issue, Private Placement, Preferential Allotment • The primary market is governed by the provisions of the Companies Act, 1956, which deals with issues, listing and allotment of securities. Additionally the SEBI - prescribes the eligibility and disclosure norms to be complied by the issuer, promoter for accessing the market. Secondary Market • Existing securities issued in the primary market are traded • This market enables participants who held securities to adjust their holdings in response to changes in their assessment of risks and returns. • It operates through over-the-counter (OTC) market and the exchange traded market. • Operation of Secondary Market: Trading , Settlement • Trading: Can be Open Outcry System and/or Screen-Based System. Under Open Outcry System traders shout and resort to signals on the trading floor of the exchange which consists of several trading posts for different securities. Buyers make their bids and sellers make their offers and bargains are closed at mutually agreed-upon prices. Under Screen-Based System Buyers and sellers place their orders on the computer. They can be limit order or best market price order. The computer constantly tries to match mutually compatible orders on price and time priority. • Modern settlement system is an electronic delivery mechanism: It is facilitated by Depositories which is an institution which dematerializes physical certificates and effects transfer of ownership by electronic book entries. Settlement Procedure can be Weekly Settlement, Carry forward system (badla and undha badla), Rolling Settlement (T+1). Source: http://in.docsity.com/en-docs/Markets_for_Investment_and_Construction_of_Indexes_-_Security_Analysis_and_Portfolio_Management_-_Solved_Quiz_"
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