Answer» | Money Market | Capital Market | | It is a market where short-term funds are borrowed and lent. | It is a market where long-term funds are borrowed and lent. | | The participants in the capital market are financial institutions, banks, corporate entities, and foreign investors. | The participants in the money market are RBI, banks, financial institutions, and finance companies. | | Individuals can take part in the trading of capital market | Individuals cannot directly trade in the money market. | | The instruments involved for transaction are treasury bills, calls money, certificate of deposit, commercial papers, commercial bills, etc. | The major players are companies, Individual investors, foreign investors, banks and financial institutions. |
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