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So, we are talking about Penny Stocks … let’s start with what is Penny stocks?
The term penny stocks is used to describe shares of small companies. They’re also called micro caps if the company has a market capitalization of fewer than 200 crores.
Steps are very easy to invest in penny stocks
1. You need to open trading account:
It will give you ease of transferring funds, fees and customer service. Penny stock investors need to focus on fee structure because some broker charge commissions on per share basis
2. Understanding the risk:
Penny stocks are highly risky investment an investor should learn everything about the company before putting their hard earned money.
3. The Bottom line:
When it comes to investing in penny stocks, trade with cautions. See the financials of the company and company should be in the business for several years and their business have a potential to grow in near future.