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wat is penny stock?

Answer Posted / prasanna

A stock that trades at a relatively low price and market
capitalization, usually outside of the major market
exchanges. These types of stocks are generally considered
to be highly speculative and high risk because of their
lack of liquidity, large bid-ask spreads, small
capitalization and limited following and disclosure. They
will often trade over the counter through the OTCBB and
pink sheets.

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