The NASDAQ Exchange

Spencer Edwards is a market maker member of the NASDAQ Exchange.  NASDAQ (originally an acronym for National Assocation of Securities Dealers Automated Quotations system) is an American electronic stock exchange.  It was founded in 1971 by the Financial Industry Regulatory Authority (“FINRA”), who divested it in a series of sales in 2000 and 2001.  It is owned and operated by The NASDAQ Stock Market, Inc. (NASDAQ: NDAQ), the stock of which was listed on its own stock exchange in 2002.  NASDAQ is the largest electronic screen-based equity securities market in the U.S.  With approximately 3,200 companies, it lists more companies and, on average, trades more shares per day than any other stock exchange in the world.  NASDAQ allows multiple market participants to trade through its Electronic Communication Networks (“ECNs”) structure, increasing competition.  The Small Order Execution System (“SOES”) is another NASDAQ feature, introduced in 1987, to ensure that in 'turbulent' market conditions small market orders are not forgotten but are automatically processed.  It is home to companies that are leaders across all areas of business including technology, retail, communications, financial services, transportation, media and biotechnology.  The NASDAQ Exchange is the primary market for trading NASDAQ-listed stocks.

The OTC Bulletin Board

Spencer Edwards also acts as an OTC Bulletin Board Market Maker.  The OTC Bulletin Board (“OTCBB”) is a regulated quotation service that displays real-time quotes, last-sale prices, and volume information in over-the-counter (“OTC”) equity securities.  An OTC equity security generally is any equity that is not listed or traded on the NASDAQ Exchange or a national securities exchange.  OTCBB securities include national, regional, and foreign equity issues, warrants, units, American Depository Receipts and Direct Participation Programs.  The OTCBB is a quotation medium for subscribing members, not an issuer listing service, and should not be confused with The NASDAQ Stock Market.  There are no minimum quantitative standards that must be met by an issuer for its securities to be quoted on the OTCBB; however, the new eligibility rules limit quotations on the OTCBB to the securities of issuers that are current in their reports filed with the SEC and other regulatory authorities.

The Pink Sheets Medium

Spencer Edwards also effects transactions for clients on “the Pink Sheets”.  The Pink Sheets is a centralized quotation service that collects and publishes market maker quotes for OTC securities in real time.  Companies that trade on the Pink Sheet exchange do not have to report to the SEC or any other regulatory body.  The Pink Sheet exchange does not list bid and ask prices of securities.  The Pink Sheet exchange hosts a website that provides price quotes, financial news and information about OTC companies to investors.  Designed to democratize information on OTC companies and OTC markets, pinksheets.com offers free quotes with a fifteen-minute delay.  The Pink Sheets is not a stock exchange or a regulated entity.  OTC market makers provide Price quotations and the OTC companies provide company information.