What is an over-the-counter marketWhat are value stocks? A value company is a company that app... More?
The OTC is a
where such as , and are traded directly between two parties. OTC trading has no physical location — trading is done electronically.It does not take place, however, on the
, e.g. at the , , . Instead, trading is usually carried out through a dealer network.Agreements on what, how many, for what priceWhat are value stocks? A value company is a company that app... More and under what conditions, are all made based on mutual consent but are not standardised like financial instruments traded on stock exchanges.
OTCs can also include
securities and other financial instruments such as , which do not trade on a formal exchange but are usually made to market by seeking to raise funds for specific issues.OTCs are mostly traded for smaller companies that do not meet the criteria for a listing on the stock exchanges. They may also be referred to as unlisted stock.