Secondary markets are markets where certain investments are bought and sold after their original issue (which took place in a primary market). The proceeds from a sale in a secondary market go to the investor, not to the company or entity that originally issued and sold the investment. Secondary markets give investors the opportunity to sell certain investments when they don't want to hold the investment to its full maturity. Likewise, secondary markets also provide investors with the opportunity to purchase certain investments at varying terms that are not otherwise available in the primary market.