In capital markets, what is sold to raise funds?

In capital markets, securities are the primary instruments sold to raise funds. Securities encompass a broad range of financial assets, including stocks, bonds, and mutual funds, which represent an ownership stake or a creditor relationship with an entity. When companies or governments need to raise capital for various purposes, such as expanding operations or funding public projects, they issue securities to investors. This process allows them to secure the necessary funds while offering potential returns to the investors.

Additionally, while the other options mention various forms of financial instruments or assets, they do not accurately capture the specific mechanisms of raising funds in the context of capital markets. Property refers to real estate assets and cannot be easily traded in the same manner as securities. Commodities, like natural resources or agricultural products, are typically traded in physical markets rather than capital markets. Debt, while a characteristic of certain types of securities (like bonds), does not encapsulate all that is included under the term "securities." Therefore, choosing securities as the answer appropriately addresses the correct asset category used for raising funds in capital markets.