Secondary market

Also called: private secondary market

In one line

The informal market where existing private-company shares are bought and sold between investors, outside any public exchange.

In plain English

There's no stock exchange for private shares, but a network of platforms, brokers and funds forms a 'secondary market' where pre-IPO shares change hands. It's thinner and less transparent than public markets.

If you were explaining it to a 5-year-old

There's no big toy shop for these toys, but kids and collectors still trade them among themselves in a loose, quiet marketplace.

Why it matters when you sell

Understanding how this market works — its platforms, pricing and gatekeepers — is key to finding a buyer and a fair price.

Put it to use

Secondary marketplaces · Compare platforms

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Sources

A general market-practice term. See how we define and source the glossary in our methodology. General information, not advice.

Educational information only — not financial, tax or legal advice, and not an offer to buy or sell any security. Definitions are general; your own documents and local law govern your situation. PrivateTechShares is independent and not a broker or marketplace.

Secondary market

Related terms

Put it to use