Penny Stock

The companies which are smaller and newer sell the stock at very low rate and that's why the name  penny has been coined to that stock. Penny stock are sold as a means of commencement of business, basic operation and seeking money for expansion. As the name.indicates the amount needed to pay for purchasing a stock is very less sometimes less than five dollars or may be a fraction of cent.If you need to purchase 1000 penny stock it is easy for you to get it with few dollars what has to included additionally is subscription fee and credit card which every body are conscious of, nothing could be possible without this.

But you can not say that it has not met with problem there are case were many issues has been raised and it has been proved extremely risky. Some of the larger firm never accept penny stock. It has been proved that seventy percent of penny stock holder has never gained a profit what they got is only loss which is according to statistical report. But if you think of purchasing penny stock you can easily  purchase it without any hesitation as the amount to be invested is very less and chance of gaining money is not guaranteed one.To augment it penny stock brokers are blamed of being fraud and never been honest in trade. Optimistically speaking you can invest only a few dollars and there are chance of getting more profit in trade by investing a small amount.