What the new listing to the OTCQX means for LDS For those wondering what the new listing to the OTCQX means for LDS please read the following:
There are three separate OTC marketplaces. These marketplaces are based on the quality of the companies’ disclosure, so that investors can more easily access and analyze companies and make informed trading decisions:
OTCQX® – The top marketplace where many of the biggest and best OTC companies trade (and where LDS just graduated to). All issuers are required to meet both financial and reporting criteria and undergo a management review. They must also be sponsored by an accredited third-party investment bank or attorney adviser. Approximately 370 securities trade on this marketplace (including BASF and Danone).
OTCQB® - The middle marketplace is referred to as the Venture Stage Marketplace. Companies that trade on this marketplace file reports with the SEC or other U.S. regulator on a regular basis. However, there are no financial requirements for listing. Over 3,000 companies trade on this marketplace.
OTC Pink® – Most companies from the old Pink Sheets® landed in this marketplace. This is referred to as the Open Marketplace, and there are no filing or financial requirements for companies that trade here. Companies may file reports to the SEC or other agency at their choosing. OTC Pink securities are further categorized into three segments.