Looking for a brokerage that is good for penny stocks

O

otctrade

  • possible to buy stocks all the way down to 0.0001
  • Per trade commission
  • No restrictions on what tickers can be traded (from otcmarkets.com)
  • Grey sheets or shorts not required.
  • Available to European residents.

I looked at sogotrade but their policy says OTC no information or otherwise Dark (non reporting) penny stocks are not allowed.

Tradestation doesn't mention whether they allow it or not.

Etrade doesn't open non-US accounts.
 
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Fain said:
Interactive Brokers can but will restrict you on non-dtc eligible stocks like most other brokers.
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I'm sorry, I just googled what a DTC (Depository Trust Company) is but I have a question: can you give me examples of a few non-DTC stocks? I've been thinking about going with IB but not sure what are some non-dtc stocks. How are we able to tell if they are non-dtc? Thanks
 
RKJSF said:
I'm sorry, I just googled what a DTC (Depository Trust Company) is but I have a question: can you give me examples of a few non-DTC stocks? I've been thinking about going with IB but not sure what are some non-dtc stocks. How are we able to tell if they are non-dtc? Thanks
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I'm on vacation so don't have access to the DTC application at work. They don't publish a list of securities that are non dtc. Though its basically a monopoly on settling Electronic trading. You don't want to be trading non-dtc securities. Settling the security through paper certs is massively expensive.
 
otctrade said:
are you referring to this list?
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Those are just notices. Inside the application, you can look-up specific symbols and the exact DTC restriction. Whether its a chill on deposits or withdrawals from the DTC. etc etc.
 
Fain said:
Interactive Brokers can but will restrict you on non-dtc eligible stocks like most other brokers.
More...
IB will also restrict caveat emptor stocks (as designated by OTC markets) and gray market. They also charge per share and are expensive for low priced stocks.

I don’t know which of the major US retail brokers offer accounts to Europeans, but OP should check out TD Ameritrade, Schwab, and Fidelity if they haven’t already (in that order).
 
MoreLeverage said:
IB will also restrict caveat emptor stocks (as designated by OTC markets) and gray market. They also charge per share and are expensive for low priced stocks.

I don’t know which of the major US retail brokers offer accounts to Europeans, but OP should check out TD Ameritrade, Schwab, and Fidelity if they haven’t already (in that order).
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I heard of IB restricting OTC stocks. I'm in the US and I'm thinking of opening an account with IB over TDA due to TD being super expensive with commissions, and you cannot add liquidity for rebates.

On top of that, IB isn't expensive for shares under 1$. Over 1$, you pay 0.0035 per share (tiered), but you can add liquidity to almost have a 1$ commission depending. On top of that, TDA doesn't let me route my executions directly. I think I'm leaning towards IB but using TOS as my charting platform.
 
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