What do Rolls Royce, Nestle Chocolate and Heineken Beer have in common?
They all trade on the Electronic Pink Sheets (also known as "The National Quotation Bureau" (NQB)). The Pink Sheets have been around since the early 1900’s. (see a history of the Pink Sheets below) Many CEO’s are choosing to go public and trade over-the-counter on the “Pink Sheets” because it offers many of the advantages of NASDAQ without SEC reporting requirements and audited financials.
Due to the increasing popularity and interest in the Pink Sheets this Newsletter will provide you with information on the Pink Sheets, including its very long history and important contributions to Wall Street and U.S. Capital Markets.
The Pink Sheets are increasingly becoming an alternative to the OTC Bulletin Board and NASDAQ. Many experts are enthusiastically recommending the Pink Sheets today because it allows a company to have many of the same benefits of a private and a public company.
Recently, we have received many inquiries regarding trading on the Pink Sheets. This is because many companies that want to "Go Public" would like to have the benefits of having their securities publicly traded without having audited financials and filing periodically with the Securities and Exchange Commission.
The fact that companies can go public and not have to
deal with audited financials and SEC reporting is attractive to many smaller companies wishing to take advantage of the benefits of being a public company.
Any company including a start up or development stage company can "Go Public" and trade on the Pink Sheets because it does not have any requirements pertaining to revenues, earnings, time in business or assets.(the OTC Bulleting Board also does not have asset or revenue requirements).
More and more companies have chosen to trade on the Pink Sheets because they either do not have the asset requirements to trade on NASDAQ or prefer not to have the reporting requirements.
We assist companies in becoming publicly traded on all exchanges. |
OTC PINK SHEETS
The Electronic Pink Sheets (NQB) are the primary trading leaders in the over the counter markets (OTC markets). They afford the increased transparency of the available information on the OTC markets, to render them more efficient for all. This like is where market makers post their bid and ask prices.
Their centralized information network benefits market makers, issuers, brokers and investors. Pink Sheets information enhances the efficiency of over-the-counter trading, providing better executions for OTC investors and improves the capital formation for issuers.
Brief History of the Pink Sheets
The Pink Sheets started in the year 1903, when the National Quotation Bureau (NQB) began as a paper-based, inter securities dealer quotation service. It was linking competing stock brokerage firms and market makers in OTC stock prices across the United States. Ever since then the Pink Sheets and have been a central resource for information on trading OTC stocks.
In the late 1990's the Pink Sheets were transformed even further, utilizing the power of electronic communication and the World Wide Web to increase the quality, timeliness and value of its information and services. The introduction of web-based technology has revolutionized many segments of the securities markets.
The Pink Sheets was more than a half century before Nasdaq which simply stands for the National Association of Securities Dealers Automated Quotations) Securities dealers are stock brokerage firms and market makers.
Nasdaq was started to give more exposure to OTC stocks. It became more popular then the Pink Sheets because it went electronic in the 1970’s while the Pink Sheets were still posting the buy and sell prices of the stock brokerage firms on pink paper and delivering them daily to all the stock brokerage firms.
In September of 1999, the Pink Sheets introduced their Electronic Quotation Service (EQB), an Internet-based, real-time quotation service for OTC equities and bonds.
Since then the Pink Sheets have become more and more popular. They have added 3 levels to become even more competitive with the OTCBB and the Nasdaq.
This is why so many well known companies trade on the Pink Sheets such as Nestle, Rolls Royce, Heineken and dozens of smaller banks. |