OTC Corporate Structure

OTC Capital is currently managed by Phillip Securities. Governance structure of OTC Capital is as described in the paragraph below.

OTC Management
The management team comprises staff from PSPL. It manages the day to day operations of OTC Capital, such as engaging in marketing activities to encourage companies to quote on OTC Capital as well as promoting the OTC Capital platform to investors as access to another asset class.

OTC Committee
This Committee comprises of senior management of PSPL. The Committee’s role is to decide on whether to approve the application by companies seeking admission to OTC Capital and sets the rules of trading, disclosure and continuing obligations of companies whose securities are quoted on OTC Capital.

OTC Advisory Board
This Board meets at least once a year and sets the strategic direction of OTC and comprises senior management from PSPL as well as industry players.

Market-maker
PSPL is the market-maker. The market-maker facilitates trading of OTC Capital’s securities by quoting the bid-ask price. The market-market may hold a small stock of OTC securities to facilitate trading but it will quote a price only if there is a commercial basis to do so. All registered OTC investors will have to buy and sell their OTC securities through the market-maker.

Operations and Custodian
The back-office operations such as settlement, contract creation, corporate actions and custodian of OTC Capital securities are provided by PSPL. All securities quoted on OTC Capital will be held in custody under Phillip Securities in trust of the beneficial shareholders.