Increased dollar volume and dozens of graduates to national exchanges were among the 2015 highlights for OTC Markets Group, operator of markets for 10,000 U.S. and global securities.
OTC Markets Group saw 60 companies graduate to a national stock exchange, the highest total of any exchange in the world, the company said.
Year-long efforts to improve regulation and investor confidence yielded many results. More than 1,000 securities were removed because they did not meet OTCQB market standards which included a continuing Penny Stock ban and new corporate governance standards for U.S. companies and banks.
The higher standards resulted in an approximate 55 percent decline in the number of listed companies. Dollar volume of traded OTCQB securities declined 69 percent.
The 1015 OTCQB companies meeting the higher standards fared quite well. Those securities listed on December 31, 2015 had a combined $57.8 billion market capitalization and a $9.5 million median market capitalization. The total dollar volume of OTCQX securities rose 16 percent to $41.9 billion, a total representing 21.3 percent of total dollar volume trading on all markets.
“The highlights of 2015 were the continued growth of our OTCQX market and establishment of OTCQB as America’s Venture Market,” OTC Markets Group President and CEO R. Cromwell Coulson said. “The total number of OTCQX securities increased 28% to 489 as of December 31, 2015, as more U.S. companies, banks and global companies joined our top market to provide their investors with an efficient and transparent trading and information experience.”
- 48 U.S. community banks, including seven which went public joined OTCQX;
- 77 banks from 26 states traded on OTCQX. Their combined assets were $49.3 billion while their combined market capitalization was $4.8 billion;
- Bitcoin Investment Trust became the first Bitcoin investment to go public following a successful Title II raise under the JOBS Act