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secondary stock

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Financial Dictionary

Secondary Stock

A stock that is considered riskier than blue chips because it has a smaller market capitalization.

Investopedia Commentary

This is another term for "small cap."

Related Links

What Is A Small Cap?

See also: Blue Chip, Large Cap, Market Capitalization, Mega Cap, Micro-Cap, Mid-Cap Stock, Nano-Cap

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Financial Dictionary

secondary stock

The stock of a smaller firm listed on the New York Stock Exchange or nearly any stock traded on the American Stock Exchange, the regional exchanges, or in the over-the-counter market. These generally volatile stocks often exhibit price movements different from those of the large blue chips. Also called second-tier stock.

Wall Street Words: An A to Z Guide to Investment Terms by David L. Scott.
Copyright © 2003. Published by Houghton Mifflin.
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