Which one of the following is a true statement?
A)The over-the-counter market is a network of dealers who buy and sell the stocks of corporations that are not listed on a securities exchange.
B)Account executives buy or sell a particular stock to maintain an orderly market.
C)OTC trading is for investors who want to buy or sell stocks in stores.
D)Specialists are not members of the NYSE.
E)Most NYSE members represent brokerage firms that do not charge commissions on security trades.

Question

Quizplus · Accepted Answer

The over-the-counter (OTC) market is indeed a network of dealers who buy and sell stocks of corporations not listed on formal exchanges, such as the New York Stock Exchange (NYSE) or NASDAQ. This allows for the trading of smaller, less liquid stocks.

Which One of the Following Is a True Statement