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.

Wall Street Words: An A to Z Guide to Investment Terms for Today's Investor by David L. Scott. Copyright © 2003 by Houghton Mifflin Company. Published by Houghton Mifflin Company. All rights reserved. All rights reserved.

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.

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References in periodicals archive

"Acquisition of these brands-particularly Excedrin--will provide us with greater critical mass in the over-the-counter market in the U.S., as well as with key trade customers that also purchase our prescription medicines and other consumer health products," points out Paul Choffat, chief executive officer of Novartis' consumer health unit.

Novartis, Leiner augment their O-T-C portfolios

ADR's from the over-the-counter market to the Nasdaq is imminent.

Avita Medical price target raised to $8 from $4 at Lake Street

On the over-the-counter market, the dollar was at CNY6.1374 around 0830 GMT, lower than Monday's close of CNY6.1413.

-Chinese currency gains on central bank guidance

fast-food chain listed on the Jasdaq over-the-counter market, fell 70 yen to 2,180 yen.

Imported beef-dependent shares sold after mad cow case in U.S

Amphastar CEO Jack Zhang stated: "We are very happy to have received FDA approval for Primatene MIST and are proud to bring this important product back to the over-the-counter market in the United States.

Amphastar announces FDA approves reintroduction of Primatene MIST

BOK is seeking to buy USD1bn to USD2bn worth of Chinese treasuries in the over-the-counter market on receipt of approval from the Chinese authorities, the report said, citing an unidentified BOK official.

-Bank of Korea buys up to USD2bn worth of Chinese bonds

The Ichiyoshi Research Institute said 179 companies listed on the Jasdaq over-the-counter market or the Second Section of the Tokyo Stock Exchange (TSE) will likely post a 13.7% rise in their combined sales and 21.2% increase in overall pretax profit for the year.

Upstart ventures to report better earnings than big firms

Pharmaceutical firms squeezed in an ever-competitive market are turning to such experienced marketers as P&G to assist them in joint ventures in bringing prescription drugs to the over-the-counter market. The increased demands by consumers for additional self-medication will also fuel sales.

P&G becomes major force in o-t-cs

VANC Pharmaceuticals, a pharmaceutical company focused on the Canadian generic drug and over-the-counter market, has signed a definitive agreement for filing two abbreviated new drug submissions with exclusive marketing rights to Canada from an unnamed manufacturer, it was reported yesterday.

VANC Pharmaceuticals signs definitive agreement for filing two abbreviated new drug submissions with unnamed manufacturer