Which of the following statements about the Sell Side and the Buy Side of Wall Street is correct?
Group of answer choices
A. The Buy Side puts money to work
B. The Buy Side underwrites new securities and advises on M&A activity
C. The Buy Side facilitates trading the secondary market
D. The Sell Side is comprised of asset managers that sells securities to the buy side
Answer:
D. The Sell Side is comprised of asset managers that sells securities to the buy side.
Sell Side- It is the way to categorize the financial firms. This side, asset management companies sell securities such as stocks, bonds, entire company in case of Merger & Acquisition. It involves trading in securities for cash. This activity put cash in the system. It actually deals with creation, promotion and selling the securities.
Examples: Investment banking, Sell side research etc.
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