Because demand still exists there is an over the counter market where traders can buy and sell penny stocks.
Where can i buy over the counter stocks.
While many stocks will not be able to meet the pre listing and on going requirements of the major exchanges investor interest in these securities remains high.
Pros and cons of otc stocks.
The process of buying otc stocks is relatively easy.
Over the counter stocks are known as penny stocks because most trade for under 1 per share.
Coupled with large spreads you can end up buying a stock at the 0 10 ask price and it can immediately trade to the 0 05 bid price and lose 50 of its value.
At schwab we provide the help you need to build a strong portfolio whichever way you prefer to invest.
Traders can place buy and sell orders through the over the counter bulletin board otcbb an electronic service offered by the financial industry regulatory authority finra.
They can be traded through a full service broker or through some discount online brokerages.
In order to buy shares of an.
You can buy and sell otc stock through a traditional stockbroker including many discount online brokers just as you would buy or sell stock listed on the big exchanges.
Over the counter otc refers to the process of how securities are traded for companies that are not listed on a formal exchange such as the new york stock exchange nyse.
You can buy and sell otcs on your own with a schwab one brokerage account or call 877 566 0054 to talk to an experienced specialist about whether otcs are right for you.
Because they trade just like most other stocks you can buy and sell otc stocks through most major online brokers.
How penny stocks trade and how investors can buy them a penny stock typically refers to a small company s stock that trades for less than 5 per share and trades via over the counter otc.
Not all brokerages handle.
There is the otcqx market.
Others may not want to meet the financial disclosure standards required by.