Penny stocks are defined by the SEC as companies that are trading at under $5 per share. Because many of these companies are just starting out, penny stocks are sometimes a volatile investment.
Penny stocks can be highly profitable; however, they can be highly speculative. Information about penny stocks is not as available as information on stocks that trade on AMEX, for example. Also, trading activity doesn’t occur as frequently compared to stocks such as Dell or IBM. They’re not as liquid either. If you have a lot of money wrapped up in a penny stock, and heavy selling occurs that day, you can lose a significant amount of money because the penny stock may or may not recover. There’s the bad news.
Penny stocks are a volatile investment, that is what penny stock investors enjoy about it – movement. Because of this definition, many new companies fall under this classification. Strategic Global Investments, Inc. is trading at $3 so it falls under that class. Penny stocks are common stocks. However, they don’t trade on exchanges, such as NASDAQ. The penny stock, Strategic Global Investments, Inc. has all of its financials for you to view. STBV is a real company, that is why investors will be attracted to a penny stock because its cheap ($3) and STBV could promise major growth. WAZZU IT!
Here are key items to know about penny stocks.
GAAP, Inc. is a shareholder of Strategic Global Investment, Inc. owner of WaZuu Website, for your information.
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Thanks for sharing,Initially most people were skeptical but the consistent profits that investors generated has led to the fast and widespread adoption.