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Micro Cap

Trading Term

U.S. Micro-Caps generally have a market capitalization of less than $250 million or $300 million. They can be quoted on the OTC Bulletin Board (OTCBB) and the OTC Markets Group (e.g., OTCQX, OTCQB & Pink) or on public exchanges. IBKR defines U.S. Micro-Cap as shares (1) traded over the counter or (2) that are listed on Nasdaq and NYSE American that have a market capitalization of between $50 million to $300 million and are trading at or below $5. To avoid situations where minor, short-term fluctuations in a stock price cause repeated reclassification, any stock classified as U.S. Microcap will remain in that classification until both its market capitalization and share price exceed $300 million and $5, respectively, for a 30 consecutive calendar day period.

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