Question

Which of the following is true about OTCEI?

• A. It was set-up to provide small and medium companies an access to the capital market for raising finance.
• B. This segment provides a trading platform for a wide range of fixed income securities.
• C. It was incorporated in 1992.
• D. It launched the capital market segment in November 1994.

Answer 1

The correct option is A It was set-up to provide small and medium companies an access to the capital market for raising finance.

OTCEI was set up to provide small and medium companies an access to the capital market for raising finance- this is a true statement. The OTCEI is a company incorporated under the Companies Act 1956. OCTCEI is advantageous to the company because it provides methods of raising funds through capital market instruments which are priced fairly.