Penny stocks
One area you will find alot of penny stocks in the unregulated and inexpensive trade arenas. One such arena is called pink sheets. This is essentially where many companies just getting off the ground can go until they reach a level of success where they qualify for the major exchanges. The risk of pink sheets is high because they are not under the regulation of the SEC and don’t have to divulge their financial statements, however this investment is cheap (where penny stocks are concerned) and pose the same investment opportunities as anything else. Many brokerage houses however steer non-sophisticated investors away from them because their high risk.
