To provide traders with a more transparent OTC market, Global OTC displays orders in both the XDP Feed® and the OTC Markets platform. View all orders—regardless of their price level—in the XDP Integrated Feed, or simply view the best bid and offer displayed on the OTC Markets platform. Global OTC orders are anonymously represented by the Market Participant ID "ARCA" on the OTC Markets platform. All Global OTC orders are displayed and executed on price/time priority.
The Global OTC XDP information includes
- Priced and Unpriced bids and offers
- Orders aggregated by price
- Share size available at the bid or ask price
- Time of quote update
The Global OTC philosophy is simple: offer best-price executions based on speed and transparency within the OTC Equity Securities marketplace. All Global OTC market orders or marketable limit orders are executed based on best-price methodology, so your order will either instantly execute against the Global OTC electronic limit order file at prices equal to or better than the NBBO, or they will enter into the Global OTC routing process to obtain the NBBO.
When the Global OTC order book is at the inside, Global OTC will immediately fill the order. The average speed of an internally-executed order is less than one millisecond. If a Better Price Quote is available outside of the Global OTC Order Book then, the order will be routed at the displayed price. Global OTC orders are routed via direct connections, OTC Link®, or phone calls to specific Market Makers from the Trade Support Desk. The execution time for orders routed outside of our system varies, depending on the routing destination. Electronic orders are routed at a multiple of the displayed quote size. Orders executed by phone are presented for the full order size.
Once an order has been routed, Global OTC XDP Feed immediately displays the balance. Global OTC helps clients comply with FINRA's Best Execution Rule. Before executing an order, the Global OTC trade support staff will use reasonable diligence and exhaust all efforts to obtain required quotes on the client’s behalf. All orders received by non-subscribers of Global OTC, as permitted by SEC Rule 301(b)(5), are treated as Immediate-Or-Cancel (IOC) orders, and will be identified with the IOC Special Handling Code for Global OTC's OATS reporting purposes.