Trade your ordinary shares in the US Capital Markets
without the hassle, expense or liability of SEC registration
More than 600 global companies from 30+ countries cross-trade their securities on OTCQX, including:
Key Benefits Include
Liquidity in your home market
increases by an average of 26%
U.S. ownership more than doubles after joining OTCQX
An average of 128 basis points of value is created for your shareholders
Liquidity in the US market increases by an average of 67%
A 600 bps average increase in value relative to Pink issuers
A 5X increase in trade volume for premium tier issuers vs Pink tier issuers
Average decrease in spreads of 5% for international OTCQX companies
Based on research and studies by Oxford Metrica 2019-2022.
Click below to download Oxford Metrica studies on OTC Markets:
Positive Market Reaction to SEC Rule Change 2022 September
OTC markets strengthened by regulation Change 2022 July
OTCQX: The US market of choice for international companies 2019 December
How we can help you
As an approved member of the OTC Markets Group Premium Provider Directory, we are directly linked to a European sponsor that can issue the letter of introduction required for the approval process.
We can facilitate your sponsorship application and speed up the process to get your shares quoted for trading within US public capital markets.
To find out if your company can achieve this in 90 days or less, just click the button below to schedule a FREE call with one of our advisors.
Hear what others have to say about OTCQX
Aery Advisors are experts in helping qualified non-US listed public companies access the necessary knowledge, expertise, and relationships to unlock the benefits of having their shares quoted for purchase and sale by US institutional and retail investors.
“I found the webinar very useful to learn what the whole marketplace entails. We are listed on the Oslo Stock Exchange and we are looking for opportunities to gain more traction in the U.S”
Investor Relations, Norway
“Very refreshing! I work with companies listed on Nasdaq First North and this is a new avenue that's opened up. I am always interested in working in new directions because you always have to be ready to re-evaluate or rethink”
FREQUENTLY ASKED QUESTIONS
OTC Markets Group provides international companies with an efficient and transparent trading platform in the US capital markets. Through OTC Link ATS, it connects a diverse network of broker-dealers that provide liquidity and execution services. This enables US investors to easily trade through the broker of their choice and empowers quoted companies to improve the quality of information available for investors.
Choosing to trade via OTC Markets allows you to access new capital and to expand your shareholder base in the US, without the duplicative regulatory requirements of a US exchange listing. OTC Markets allow foreign companies to use their home country disclosure in English in lieu of SEC reporting.
OTC Markets Group Inc. (OTCQX: OTCM) operates the OTCQX Best Market, the OTCQB Venture Market, and the Pink Open Market for more than 11,000 U.S. and global securities.
A volume of 375 billion dollars OTC Link ATS is operated by OTC Link LLC, a member of FINRA/SIPC and SEC regulated ATS.
The OTCQX® Best Market is for established, investor-focused U.S. and international companies. The companies found on OTCQX are distinguished by the integrity of their operations and the diligence with which they convey their qualifications.
For regulatory purposes, OTC Markets operates an "inter-dealer quotation system" rather than a "national securities exchange". This means that shares can be traded "over the counter", i.e. trading is done off-exchange directly between the market makers using OTC Link.
OTCQX offers listed non-US companies the opportunity to build their visibility, expand their liquidity and diversify their shareholder base on an established, public market in the United States without the more stringent procedures required for a secondary exchange listing.
Non-US listed companies can qualify for OTCQX International and OTCQX International Premier if they meet the necessary criteria to be quoted. To be cross-traded on OTCQX, non-US companies must undergo a qualitative review by OTC Markets Group.
They are not required to be registered with or report to the SEC. However, they must post
financial information with OTC Markets Group in English. In addition, further quality control is
provided by requiring every issuer to be sponsored by approved third-party investment banks or law firms, called OTCQX Sponsors.
Securities in the USA are subject to securities law regulation at both the state level (aka “Blue Sky laws”) and federal level. It is against Blue Sky laws for an issuer that is not on Nasdaq, NYSE or OTCQX (37 states) or OTCQB (33 states) to be recommended to be placed in private client accounts or have research distributed below institutional levels.
Larger US investors can usually trade directly in foreign markets. However, many US investors, Especially smaller US funds and retail investors, prefer to see quotes in US dollars during their regular US trading hours. They may also prefer using a US broker to execute the trade in the United States.
For example, if a Danish company is listed on e.g. Nasdaq Copenhagen, Nasdaq First North Premier or Nasdaq First North in Danish kroner, a large number of US investors will not have access to trading in the shares nor will they be able to trade in the same time zone. OTCQX can solve this by opening up cross-trading of the foreign listed shares in the United States.
To qualify for OTCQX International as a foreign issuer, you must meet the following main criteria:
- Maintain a listing on a Qualified Foreign Exchange or be an SEC Reporting Company
- Be incorporated outside the U.S.
- Not a Shell Company or Blank-Check Company
- Not subject to any Bankruptcy or reorganization proceedings
- Not a Penny Stock
- Have Priced Quotes by a market maker on OTC Link
- Submit a Letter of Introduction from an OTCQX Sponsor (Book a call with us to get an introduction)
Meet one of the following Reporting Standards:
- International Reporting Standard
- SEC Reporting Standard
- Regulation A Reporting Standard
Audited annual financials
Timely disclosure of material news and other information required to be made publicly available pursuant to the Exchange Act Rule 12g3-2(b) published in English, through the OTC Disclosure & News Service or an Integrated Newswire service
Sponsor eligibility is limited to the most qualified firms with high levels of capital markets expertise such as ADR banks, Corporate Brokers, U.S. investment banks, and U.S. attorneys.
As part of the approval process, OTCQX Companies are required to submit an introductory letter from an approved OTCQX Sponsor.
OTCQX Sponsors can also provide professional guidance to generate investor demand, build long term relationships, and assist the company in adhering to disclosure protocols.
- Global markets capitalization of USD 10 million
- Bid price of USD 0.25
- 50 beneficial shareholders owning 100 shares or more
- Global markets capitalisation of USD 1 billion
- 5 years operating history
- an average weekly volume of 200,000 shares or USD 1 million for the previous 6 months
If your company cannot meet the higher financial standards for OTCQX, then it may be appropriate to consider seeking a quotation on OTCQB.
The OTCQB market is the second tier of the markets operated by OTC Markets Group. Unlike the OTCQX market, there are no minimum financial standards on the OTCQB market other than a USD 0.01 minimum bid price.
- To be traded on OTCQX, you will pay an annual fee of USD 23,400.
- When joining, you will also pay a USD 5,000 application fee plus the
- Legal fees for your OTCQX sponsor and the associated legal work.
Are you ready to get started?
OTCQX®, OTCQB®, Pink® are trademarks of OTC Markets Group Inc.