Distinction between Money Market & Capital Market?

Answer»

SL. No.	Money market	Capital market
a.	It deals in short term funds.	It deals in a long fund.
b.	The maturity period is form one day to one year.	The maturity period is for more than one year and can also include lifetime of a company
c.	It provides funds for working capital requirements.	It provides funds for fixed capital requirements.
d.	Rate of returns is low	Rate of returns is high.
e.	Financial risk is relatively less.	Financial risk is relatively more.

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