Stock Market Investors » Glossary of Stock Terms » What is a Penny Stock?

What is a Penny Stock?

Investors have the option of choosing among many different types of stocks that come in variety of prices. If you are looking for cheap stocks that are usually sold at $1 or less then penny stocks are the stocks you are looking for. Such stocks are generally issued by very speculative companies. As a result they represent the stocks that are most subject to different swindles and schemes.

To be a successful investor you need two main things - the knowledge and the right trading platform.

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For knowledge we can highly recommend you subscribe to the The Wall Street Journal.

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