| Features | Money Market | Capital Market |
| Duration of Funds | It is a market for short-term loanable funds for a period of not exceeding one year. | It is a market for long-term funds exceeding period of one year. |
| Supply of Funds | This market supplies funds for financing current business operations working capital requirements of industries and short period requirements of the government. | This market supplies funds for financing the fixed capital requirements of trade and commerce as well as the long-term requirements of the government |
| Deals with Instruments | It deals with instruments like commercial bills (bill of exchange, treasury bill, commercial papers etc.). | It deals with instruments like shares, debentures, Government bonds, etc., |