National Quotation Bureau (NQB)
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Unveiling the Legacy of the National Quotation Bureau (NQB) and Its Evolution into OTC Markets Group
The National Quotation Bureau (NQB) stands as a significant figure in the history of financial markets, providing crucial price information for stocks and bonds traded in the over-the-counter (OTC) market. Founded in 1913 by Arthur F. Elliot and Roger Ward Babson, the NQB played a pivotal role in democratizing access to financial data during a time when such information was scarce. Let's delve deeper into the legacy of the NQB and its transformation into the OTC Markets Group.
The Origins of the National Quotation Bureau (NQB)
In the early 20th century, Arthur F. Elliot and Roger Ward Babson joined forces to establish the NQB, amalgamating their expertise in compiling and disseminating security prices. This collaboration birthed a pioneering venture that packaged essential financial data, catering to the needs of dealers and investors alike. Notably, the NQB's issuance of bond data on yellow sheets and stock data on pink sheets coined the term 'pink sheets,' emblematic of non-listed securities in today's parlance.
Evolution into OTC Markets Group (OTCM)
As technology advanced, the NQB adapted, transitioning from physical pink sheets to real-time electronic quotations in 1999. Subsequent rebranding initiatives in 2000 and 2008 culminated in the establishment of the OTC Markets Group, marking a new chapter in the organization's journey. Today, the OTC Markets Group boasts a robust listing of over 10,000 securities, representing a substantial trading volume exceeding $400 billion annually.