DEFINITION of 'Primary Listing'
The main stock exchange where a publicly traded company's stock is bought and sold. Having a prestigious primary listing, such as the New York Stock Exchange, lends a company credibility and makes investors more likely to purchase its shares. In addition to its primary listing, a stock may also trade on other exchanges. A company might want to do this to increase its liquidity and ability to raise capital.
BREAKING DOWN 'Primary Listing'
In order to be listed on more than one exchange, a practice called "dual listing" or "cross listing," the company must meet the requirements to be listed on the other exchange(s), such as company size and share liquidity. Cross listing would, for example, allow a multinational corporation to trade not just on the New York Stock Exchange (NYSE), but also on the London Stock Exchange (LSE). If the company does not continually meet an exchange's listing requirements, it will be delisted from that exchange.