The U.S. OTC equity market consists of 10,000 securities ranging from very liquid OTCQX securities (Roche, Adidas) and distressed (delisted) securities to thinly traded, illiquid securities.
Broker–dealers who wish to engage in quoting and/or trading of OTC securities must be registered with the U.S. Securities and Exchange Commission (SEC). Broker–dealers are also subject to applicable Federal and State securities laws and Financial Industry Regulatory Authority (FINRA) or other Self Regulatory Organization (SRO) membership rules.
New to the OTC
Registered broker–dealers who wish to begin quoting or trading OTC securities through OTC Link must have a valid Market Participant Identification (MPID). The MPID is assigned by FINRA (MPID Application Form). Firms may apply to be a market maker or order entry only. Order entry firms will only be allowed to trade OTC securities – they will not be allowed to quote securities. Once the MPID is established, please contact OTC Markets. We will walk you through the additional process/technical decisions that need to be made, including:
- Quote & Trade Submission – OTC Dealer vs. OTC FIX
- Trade Reporting
You will also have to complete and sign the Broker–Dealer Subscription Agreement. Depending on the technical decisions, you may be able to begin quoting/trading within a couple of days.
Existing OTC Markets Customers
Existing OTC Markets customers who wish to alter or upgrade their service should contact OTC Markets or complete the applicable change/upgrade forms from the Forms/ Resources page and fax or email to: