- 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————( OTC)A decentralized market (as opposed to an exchange market) where geographically dispersed dealers are linked by telephones and computer screens. The market is for securities not listed on a stock or bond exchange. The Nasdaq market is an OTC market for US stocks. Antithesis of listed. Bloomberg Financial Dictionary————( OTC)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————( OTC) Euroclear Clearing and Settlement glossaryMarket outside an organised exchange in which transactions are conducted through a telephone or computer network connecting the different market participants. 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————See OTC LIFFE
* * *over-the-counter UK US /ˌəʊvəðəˈkaʊntər/ adjective (ABBREVIATION OTC)► FINANCE, STOCK MARKET used to describe shares that are bought and sold directly using a computer system, rather than on a stock market: over-the-counter shares/securities/options »
Brokers can use the system to look up prices or enter quotes for over-the-counter securities.»
Over-the-counter trading of Malaysian issues continued to be active.► COMMERCE available to buy from a store without a prescription (= written instruction from a doctor): over-the-counter drug/medicine/product »
Strong sales of prescription and over-the-counter drugs helped boost the company's profits.
Financial and business terms. 2012.