OTC Markets

OTC Markets refer to a decentralized network where stocks and securities are traded directly between parties, rather than through a centralized exchange like the NYSE or NASDAQ. These markets facilitate trading in smaller or less regulated companies, often called over-the-counter (OTC) securities. The OTC Markets Group provides a platform with different tiers of disclosure and transparency, helping investors assess the risk and legitimacy of securities. Essentially, OTC Markets serve as an alternative trading environment, offering access to a wider range of securities outside traditional exchanges, with varying levels of regulation and reporting.