Secondary Stock

See: Secondary Offering.

Secondary, as in: "It's already trading, it already exists."

An original offering like an IPO is primary stock. When founders and insiders then sell 6 months later, they're selling the same flavor, brand, and type of stock that's already trading courtesy of the IPO. It's not newly found; it's secondary. So as more secondary stock is sold (and then subsequently traded on exchanges), the stock gets more liquid. Volumes increase. Bigger professional investment institutions get interested in the stock. And you're in The Show.