The ABC Brokerage Firm has sold newly issued securities of the XYZ Corporation to a client. The client will hold onto these securities for a period of time. The securities are considered to be _____.

When a corporation issues new securities and sells them to investors, the securities are called primary securities. Here, XYZ Corporation has newly issued the securities, and ABC Brokerage Firm sells them to a client. The client’s decision to hold them for a period of time does not change their classification. Therefore, they are primary securities.

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