What is the difference between the money market and the capital market?

[Hopey]

Capital market is for trading of long term security ansd debth instrument while money market is for the trading of short term securities and debt instrument

 

[Cash%]

Money market is a market that is dealing in the short term investments. And While a capital market is focusing on the long term investment . But They both form the finance market of an economy.

I have learnt something today ,then that means the difference between the two is still very much clear and those who runs the capital market are on long term benefit

 

[Bousine123]

Can't really explain the difference between these two. I once learned about it in my earlier stage of taking stock trading classes.

 

[Heatman]

It's actually very simple to differentiate between what money market means and what capital market means because the money market actually offer services or transaction that are short-term lived than the capital market.

 

[Snazzy001]

the major difference is that money market treat Showtime securities while the capital market Street long time securities and concerned with Depts at times

 

[Bousine123]

I can bet I still find those two terms confusing when am been asked about them. I knew them before when I started learning about how the stock market works but I have forgotten it.

 

[Nurudeen]

I really don't know the difference between money market and capital market myself. I think I will make more research about it and see how it goes then come to update this post Later

 

[greenie]

I am not well-versed with capital market although I heard that before. In the bank where I worked there was a Money Market department that I even handled their computer system. The money market is getting deposits that they invest in government bonds and other profitable investment of money for a short term only because the money market system is not for long term. The yield in money market is higher then the earnings of a regular deposit in the bank.

 

[YERUS]

Many people (including myself) still do not understand the difference between the money market and the capital market, even though both are places for securities transactions, of course there are many differences. For those of you who are dealing with these two markets, it will certainly be easy to explain the difference between the money market and the capital market.

I think the money market trades short term securities, while the capital market trades medium and long term securities.
The capital market is where stocks and shares are purchased.
In the money market, money can be used to run business temporarily, with the aim of making profit.

 

[Toyoabasi]

Many people (including myself) still do not understand the difference between the money market and the capital market, even though both are places for securities transactions, of course there are many differences. For those of you who are dealing with these two markets, it will certainly be easy to explain the difference between the money market and the capital market.

The money market is where short term investments can be made while the capital market takes on long term investments. So, stocks or shares and bonds can be purchased from the capital market.

 

[HayKay]

The capital market is all inclusive where not only money is traded but other valuable assets such as gold, financial instruments that include bonds, stocks and the likes. In the money market, only money assets that are easily convertible to money are traded.

 

[tyrim88]

The money market is actually a short term ssecurity loan package usually given by banks,financial institutions and other moneytry agencies,their periods can be in the range of 24hurs to 1yr.While the stock market is the exchange of security for a longer priod.

 

[frederick_9]

Between the money market and the capital market, there are numerous differences.
The primary difference between the money market and the stock market is that the former deals with short-term securities, and the latter focuses on long- or medium-term securities purchase.