OTC Markets Group Inc.
Candlefocus EditorTo participate in the OTC market, publicly-traded companies must be registered with the SEC and follow the standards posted by the OTC Markets Group. Depending on the level of disclosure and financial soundness, securities are separated into three tiers: OTCQX (the highest standard with the most stringent requirements), OTCQB (the venture market) and the Pink Open Market (largest in terms of number of companies and trade volume, including companies in financial difficulty).
Securities listed in the OTC Markets are traded through the OTC Link platform, which is an alternative trading system registered with the SEC. OTC Link is a secure system and offers investors the ability to buy, sell, short-sell and conduct research for OTC securities in an efficient way.
The primary benefit of the OTC Markets Group Inc. is that it provides companies with the opportunity to raise capital and grow, even if they don’t meet the stringent requirements to list on a major exchange. Through its offerings of market data, corporate services and the OTC Link platform, OTC Markets Group Inc. allows both investors and companies to access and trade OTC securities with confidence and transparency.