Roughly 60% of activity on OTC Markets is from retail investors: Paltrowitz

The video discusses the significance of the OTC market, highlighting its role as a major secondary market for international companies seeking access to US investors. It explores post-pandemic market trends, noting a shift in retail investor behavior and increased interest in undervalued international markets. The video also examines the composition of OTC market participants, emphasizing a balance between retail and institutional traders. Regulatory aspects are covered, detailing the oversight by SEC and FINRA. Finally, it addresses current investor sentiment, indicating a search for new opportunities amid economic uncertainties.

What role does the OTC market play for international companies?

• It serves as a secondary market for international companies to access US investors.

• It is exclusively for institutional investors.

• It is the primary market for US companies.

• It only deals with commodities.

How did the OTC market change during the COVID-19 pandemic?

• It remained stable with no significant changes.

• It experienced significant growth due to increased retail investor activity.

• It was shut down temporarily.

• It saw a decline in activity.

What is the current composition of traders in the OTC market?

• A balanced mix of retail and institutional traders.

• Only institutional traders.

• Primarily retail traders with no institutional presence.

• Only retail traders.

What misconception do retail investors have about accessing foreign equities?

• They believe foreign equities are only available through ETFs.

• They believe they can only access them through local markets.

• They think they have direct access to foreign markets without the OTC market.

• They assume foreign equities are not available to them.

What recent market activity indicates investor sentiment?

• A decline in IPOs.

• A focus on cryptocurrency investments.

• A major IPO with significant gains, indicating investor interest in new opportunities.

• A shift towards bond markets.