- OTC
- See: over-the-counter. The New York Times Financial Glossary————over the counter (OTC)Purchases and sales of financial instruments that do not take place in organized exchanges such as the New York Stock Exchange or the Chicago Board of Trade are termed over the counter. The phrase may be used as a noun to describe capital markets other than organized exchanges. The phrase may also be used as an adjective to describe instruments not traded on an organized exchange, such as over-the-counter derivatives. American Banker Glossary————See: over-the-counter. Bloomberg Financial Dictionary————Over The Counter; a market in which custom-tailored contracts such as stocks and foreign currencies are bought and sold between counterparties and are not exchange traded. Chicago Mercantile Exchange Glossary————Operations Tariff Classification. HM Customs & Revenue Glossary————Not traded on an exchange. The benefit of this is that the contract can be tailored to meet the investor's own particular requirements. In contrast, exchange traded products are standardised but offer greater liquidity. A major OTC market is the foreign exchange market, where banks trade directly with each other rather than through an exchange. Dresdner Kleinwort Wasserstein financial glossary————See over-the-counter Euroclear Clearing and Settlement glossary————over-the-counter (OTC)In the US, a market where small capitalisation stocks (and some large capitalisation stocks as well), shell companies, inactively traded and unregistered stocks trade. The pink sheets and the OTC Bulletin Board (OTCBB) are the only places left in the US where unregistered stocks trade.See also pink sheets Exchange Handbook Glossary————The market for securities or derivatives created outside organised exchanges by dealers trading directly with one another, or their counterparties, by telephone or screen. LIFFE
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OTC OTCFINANCE written abbreviation for Over The Counter* * *
Over the counterA market conducted directly between dealers and principals via a telephone and computer network rather than via an exchange trading floor. Unlike an exchange there is no automatic disclosure of the price of deals to other market participants, and the deals and traded instruments are not standardized.* * *
OTC UK US adjective► FINANCE, STOCK MARKET, COMMERCE ABBREVIATION for OVER-THE-COUNTER(Cf. ↑over-the-counter)
Financial and business terms. 2012.
