<- Back

Over-The-Counter Market (OTC)

Summary

A market where securities or commodities that are not listed on a stock exchange are traded between brokerage firms or dealers.

  

The Over-The-Counter (OTC) Market is a decentralized marketplace where financial instruments such as stocks, bonds, derivatives, and currencies are traded directly between parties, without being listed on a formal exchange. Transactions are conducted through a network of dealers or brokers rather than a centralized platform.