over-the-counter market

(redirected from Over-the-counter trading)
Also found in: Dictionary, Thesaurus.
Related to Over-the-counter trading: Over the Counter Market

Over-the-Counter Market

Describing a security or trade that does not occur on an exchange. Very often, the OTC market includes securities that are very small and do not trade on an exchange because they do not meet market capitalization requirements. OTC securities may theoretically be traded informally (one may stand on a street corner and sell his/her stocks), but the term usually refers to securities traded through a dealer network.

over-the-counter market (OTC)

A widespread aggregation of dealers who make markets in many different securities. Unlike an exchange on which trading takes place at one physical location, OTC trading occurs through telephone or computer negotiations between buyers and sellers. Although stocks traded over the counter are often more speculative than listed stocks, virtually all government and municipal bonds and most corporate bonds are traded in the OTC market. See also National Quotation Bureau, OTC Bulletin Board, third market.

over-the-counter market (OTC)

a MARKET for corporate SHARES which have not obtained a full listing on the main STOCK MARKET. The UK's OTC market was abolished in 1992. See ALTERNATIVE INVESTMENT MARKET.
References in periodicals archive ?
Shares of Sun-Times Media Group soared nearly 47% on its first day of over-the-counter trading Wednesday.
Over-the-counter trading of meat and fish by trade buyers will now be allowed.
The firm must now resort to over-the-counter trading.
The Big Sandy River market, with annual trading volume of approximately 20 million to 25 million tpy, had become a major over-the-counter trading hub and site of the emerging NYMEX futures coal market.
Meanwhile, Miracle is entering into a capital restructuring that should move the publicly traded company to over-the-counter trading.
Turbodyne in its statement Thursday said it disagrees with the panel's judgment and said it is working both to be reinstated on the Nasdaq main board and, in the meantime, to gain listing on the exchange's over-the-counter trading system.
Asatsu is listed on the First Section of the Tokyo Stock Exchange, and Dai-Ichi Kikaku is registered for over-the-counter trading.
The Best OTC Trading Initiative award recognizes projects or deployments that improve over-the-counter trading capabilities and demonstrate proactive preparation for impending market changes, such as those mandated by the Dodd-Frank Act.
Rules on transparency and centralised clearing for over-the-counter trading markets were introduced.
The anti-trust probe concerning the credit default swaps (CDS) market has been extended to include the International Swaps and Derivatives Association (ISDA), a professional organisation of financial institutions involved in over-the-counter trading of derivatives, the European Commission announced, on 26 March.
However, LOFX warns both big and small time investors that there is always risk related with trading particularly spot forex and over-the-counter trading.

Full browser ?