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Secondary Stock

Secondary Stock Definition

Secondary Stock or second-tier stock is the stock of a smaller firm which is inferior to a blue chip. These are lower quality stocks, having higher risk or smaller market capitalization. They often show volatile price movements different from those of the large blue chips.


Additional meaning of Secondary Stock:

Secondary stocks are almost all small stocks listed on the American Stock Exchange and stocks listed on the regional exchanges, or in the over-the-counter market.








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