A Look at Over-the-Counter Equities Trading
When it comes to equities trading, movements of share prices on major stock exchanges like the New York Stock Exchange and tend to dominate headlines. But every day, millions of equity trades are made off the stock exchanges in what's known as over-the-counter (OTC) trading.
OTC trading generally refers to any trading that takes place off an exchange. A host of financial products trade OTC, including stocks, bonds, currencies and various derivatives. It's a massive part of the global financial market, with OTC trading in certain types of financial products accounting for billions of dollars in trades daily.
OTC trading in equities can occur for:
Source Fool.com
