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A CKR L CAPI L EL TA Comparison of U.S. Stock Markets Cannabis Investment Report | December 2017 U.S. stock markets vary significantly in terms of their financial, liquidity and corporate governance requirements. Most U.S. publicly traded cannabis-related companies trade on the OTC due to its less stringent requirements, as compared to Nasdaq and the NYSE. The following chart provides a com- parison of Nasdaq, the NYSE and the OTC. U.S. Stock Market Comparison Market Tiers Number of Total c at Cannabis- ompanies related Market Total Value’ Median Listing or Trading Requirements Minimum Share Price Corporate Governance Requirements Reporting Requirements Registration Requirements Nasdaq Global Select Market Nasdaq Global Market Nasdaq Capital Market 3,200+ $11.3 trillion $334.0 million Must meet financial and liquidity criteria under at least one category of Standards. Criteria include: Stockholders’ Equity, Market Capitalization, Operating History, Net Income, Amount of Publicly Held Shares and Number of Shareholders. Nasdaq Global Select Market: $4.00 Nasdaq Global Market: $4.00 Nasdaq Capital Market: $2.00 * Annual audit + Audit committee and compensation committee + Majority of independent directors Required to file quarterly and annual reports Required to register with the SEC NYSE NYSE American 2,800+ $29.6 trillion $1.5 billion Must meet financial and liquidity criteria under at least one category of Standards. Criteria include: Stockholders’ Equity, Market Capitalization, Pre-tax Income, Amount of Publicly Held Shares and Number of Shareholders. NYSE: $4.00 NYSE American: $2.00 * Annual audit + Audit committee and compensation committee * Majority of independent directors Required to file quarterly and annual reports Required to register with the SEC OTCQX OTCQB OTCPink 10,300+ 212 $247.7 billion $0.5 million OTCQX: Must meet minimum financial and liquidity criteria OTCQB and OTCPink: No financial and liquidity criteria OTCQX: $0.10 OTCQB: $0.01 OTCPink: None OTCQX and OTCQB: + Annual audit + Audit committee Two independent directors OTCPink: No requirements Not required to make regular filings Not required to register with the SEC ‘Source: S&P Global Market Intelligence 126 © 2017 Ackrell Capital, LLC | Member FINRA/SIPC HOUSE_OVERSIGHT_024762