Abstract
Capital markets and systems: The capital market is the market for securities where companies and the government can raise long-term funds. The capital market includes the stock market and the bond market. Financial regulators, such as the U.S Securities and Exchange Commission, and Financial Services Authority in the UK, oversee the markets to ensure that investors are protected against fraud. Capital markets consist of the primary market, where new issues are distributed to investors, and the secondary market, where existing securities are traded. Most markets are regulated by state wide laws and regulations. While barter markets exist, most markets use currency or some other form of money. The term "stock market" is a concept for the mechanism that enables the trading of company stocks that means collective shares, other securities and derivatives. Bonds are still traditionally traded in an informal, over-the-counter market known as the bond market.
