Over-the-Counter (OTC) markets are financial markets where financial instruments are traded outside of traditional stock exchanges. These markets are less regulated and offer greater flexibility in terms of terms, transaction sizes and conditions. In the context of OTC, there is no specific classification of "financing types" as found in traditional stock markets. However, financing transactions in OTC markets typically involve financial instruments such as:
Financial derivatives: These are contracts whose value depends on the price of an underlying asset (such as stocks, bonds, currencies, commodities). Derivatives are used to manage risk or to speculate on the price of an asset. Examples of derivatives include: Futures: Contracts to buy or sell an asset at a certain price on a future date. Options: Contracts that give the buyer the right, but not the obligation, to buy or sell an asset at a certain price on a future date. Swaps: Exchange of cash flows between two parties, based on an underlying asset. Loans: These can be granted by banks, financial institutions or even individuals. OTC loans are usually customized and tailored to the specific needs of the borrower. Bonds: Bonds are debt instruments issued by companies or governments to obtain financing. In OTC, bonds can be traded outside of traditional stock exchanges, offering greater flexibility in terms of terms and conditions. In short, there is no predefined list of "types of financing" in OTC, but financing transactions in these markets typically involve a variety of instruments.
Reference link from the director of the program La HORA Financiera: https://www.micronacion.com/yghork-ruben
Source: https://www.micronacion.com/nacion/economia/micronacion/la-hora-financiera
Fuente: https://www.micronacion.com/otc#cctvradio#micronacion #binancesquare
