secondary market

The trading of shares amongst investors which does not involve the company itself. When people talk about trading on the stock market, they are generally referring to the secondary market, which involves brokers, market makers and an exchange providing a technical platform for trades to take place. The companies and their shares are the subject of the trading, but they are not directly involved as participants.

The primary market refers to the situation in which a company sells newly issued shares to investors, possibly in an IPO, or places them with institutions.