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Penny Stock Education

What is A Penny Stock?

A penny stock can be defined as the shares of small companies that trade for lower than $5 per share. In the

Are Penny Stocks a great idea?

Penny stocks can be considered to be an enticing and yet risky investment. Given its uncertain nature, an extensive deliberation is required before investing. Some key factors to consider are: Risk Threshold : It is safe to say that penny stocks are a good fit for very aggressive investors because although the gains can be outrageously high, it can also record substantial losses. Penny stocks should be considered by individuals with a high risk threshold. Diversification: The high volatility of the penny stocks renders it unsuitable for holding a large portion of your investment portfolio. Duration of Investment: The right duration of penny stock investment is relative considering different factors and so there is no textbook rule for the ideal timespan for penny stocks. Investment Strategy: This is the most important factor to consider in penny stock investment as an uninformed venture into this field can be a painful experience. This is why you are in The Paladin. Our expert guidance is key and would yield a good result if abided by strictly as we direct you closely in navigating the complexities of the penny stock investment world.

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Pros and cons of Penny stocks

Penny Stocks trading comes with its advantages and disadvantages although which one weighs more is totally dependent on a person’s risk capacity.

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