What Is the OTC-QB Venture Market?

***

***

By Staff Reporters

The OTCQB, also called “The Venture Market,” is the middle tier of the over-the-counter (OTC) market for U.S. stocks. It was created in 2010 and consists mainly of early-stage and developing U.S. and international companies that are not yet able to qualify for the OTCQX but are not as speculative as the lowest-tier Pink Sheets.

The OTCQB replaced the Financial Industry Regulatory Authority (FINRA)-operated OTC Bulletin Board (OTCBB) as the main market for trading OTC securities that report to a U.S. regulator. As it has no minimum financial standards, the OTCQB often includes shell companies, penny stocks, and small foreign issuers.

LINK: https://www.otcmarkets.com/files/OTCQB%20Fact%20Sheet%20for%20U.S.%20Companies.pdf

Key Takeaways

  • The OTCQB is the mid-tier OTC equity market, which lists primarily early-stage and developing companies in the U.S. and international markets.
  • OTCQB companies must meet certain minimum reporting standards, pass a bid test, and undergo annual verification.
  • The other OTC tiers are the highest quality OTCQX, and the most speculative Pink Sheets.

CITE: https://www.r2library.com/Resource/Title/082610254

READ MORE: https://www.investopedia.com/terms/o/otcqb.asp

***

COMMENTS APPRECIATED

Thank You

***

***

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

%d bloggers like this: