IEX should expand to OTC markets!

Humble Investor said:
They can't because it is an ADR and is pegged to the Canadian markets.
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the US MM will try to squeeze something out of you. that is a reason Jim Rogers never buys ADRs only the stock in the home stock market because that is where it is easiest to sell.
 
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zdreg said:
the US MM will try to squeeze something out of you. that is a reason Jim Rogers never buys ADRs only the stock in the home stock market because that is where it is easiest to sell.
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I tried to buy 200 shares at a time every few minutes today, worked nicely. I think 4.5k shares in one go was too big. I'm not a fan of Jim Rogers. I hate FX conversions, that's why ADRs are so useful.

 
Robert Morse said:
I just spoke to a rep at OTC. He confirmed what I knew already. When you send your order in an OTC stock, your broker will likely send that order to the equity MM they have a relationship with. That Market maker can review that order to see if they want to sell it or route to the MM that is at that price. There is no real-time restriction for that. In practice, they will then route that order to the other MM but that could take minutes. That MM, if it receives that order from your broker or the other MM, is not held to their offer. they can sell or fade.

They told me they sent a rule change to FINRA to make MM bids and offer "firm", but FINRA rejected the request. The reality is that your broker does NOT owe you an execution in the wild west of OTC. You trade their knowing it can be a black hole. You are also trading symbols that might not meet the accounting requirements by NASDAQ or NYSE, so you never know what you are trading.

Expecting your broker to take the other side of your trade when you expect you are due an execution you could not receive in the marketplace, is not a legal requirement of any kind.
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Good info, Bob. Do you have any insight into why Finra rejected making quotes firm? And who exactly made that request?
 
Lack of fills its what is beautiful about OTC, if you are a good trader and are on the right side of the market, you can make a bundle as people get desperate to get in or out but are unable to get filled. this creates price extremes. You want instafills, go to the nasdaq, on OTCs, its a different game and its a lot more fun
 
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