Listen to a Business English Dialogue about Unlisted securities
Gabriel: Hey Anna, do you know what unlisted securities are in finance?
Anna: No, I’m not sure. Can you explain it to me?
Gabriel: Unlisted securities are financial assets, like stocks or bonds, that are not traded on a public exchange, making them less accessible to the general investing public.
Anna: Oh, I see. So, they’re not listed on stock exchanges like the New York Stock Exchange or NASDAQ?
Gabriel: Exactly! Instead, unlisted securities are typically traded in over-the-counter (OTC) markets or through private transactions.
Anna: That’s interesting. Are there any advantages to investing in unlisted securities?
Gabriel: Investing in unlisted securities can provide opportunities for potentially higher returns, as they may be undervalued or overlooked by mainstream investors.
Anna: I see. What are some risks associated with investing in unlisted securities?
Gabriel: One risk is that unlisted securities are generally less liquid than those traded on public exchanges, making it more difficult to buy or sell them at desired prices.
Anna: Got it. Thanks for explaining, Gabriel. Unlisted securities seem like they offer different opportunities and challenges compared to listed ones.
Gabriel: No problem, Anna. It’s important to understand the characteristics and risks of different types of securities before investing.