When a firm issuing new securities has previously issued securities, these previously issued securities are called ________.
A)investment-grade issues
B)seasoned issues
C)an initial public offering
D)secondary issues

Question

Quizplus · Accepted Answer

Seasoned issues are securities that are issued by a firm after it has previously issued securities. These can include bonds or stocks and differ from initial public offerings (IPOs) which are the first time a company issues securities to the public. Secondary issues refer specifically to the sale of previously issued shares by existing shareholders rather than the issuance of new securities by the company. Investment-grade issues refer to bonds that are considered to have a low risk of default.

When a Firm Issuing New Securities Has Previously Issued Securities