In India, the 'Anchor Investor' category in an IPO falls

Solution

• The  Primary Market  is where securities are created and issued for the first time (e.g., IPOs, FPOs).  Anchor Investors  are institutional investors who are allocated shares  a day before the IPO opens  to the public, at the final IPO price. Their participation lends credibility to the issue and helps set the price band. Since this is part of the initial issuance of shares by the company to raise capital, it is unequivocally a  primary market activity . The secondary market is where already-issued securities are traded among investors (e.g., stock exchanges).