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Change how this looks in the mod_simpletwitter.php file- Willbros Group Narrows Losses in Q4: The engineering and construction company reported a loss of $8.2 million, or... http://bit.ly/aR1Tex on Thu, 11 Mar, 2010
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- Trump presses on with $1B golf course: Despite the financial downturn affecting property prices and construction ... http://bit.ly/a4jFht on Thu, 11 Mar, 2010
- Manchester Utd bidders appoint top bank: The group poised to launch a takeover bid for English Premier League sid... http://bit.ly/dwbtXu on Thu, 11 Mar, 2010
- Treasury Sees Strong Demand At Sale Of 30-yr Debt: Treasury Sees Strong Demand At Sale Of 30-yr Debt http://bit.ly/9ztRcS on Thu, 11 Mar, 2010
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- U.S. Households Increase Treasury Holdings: Fed: U.S. Households Increase Treasury Holdings: Fed http://bit.ly/cH86SJ on Thu, 11 Mar, 2010
- TECH STOCKS: Broad-market Weakness Hinders Tech Stocks: TECH STOCKS: Broad-market Weakness Hinders Tech Stocks http://bit.ly/cLBNsn on Thu, 11 Mar, 2010
- TECH STOCKS: Broad-market Weakness Hinders Tech Stocks: TECH STOCKS: Broad-market Weakness Hinders Tech Stocks http://bit.ly/cLBNsn on Thu, 11 Mar, 2010
- Exxon Mobil CEO: XTO Transaction To Close In 2Q: Exxon Mobil CEO: XTO Transaction To Close In 2Q http://bit.ly/bks8Bg on Thu, 11 Mar, 2010
- PRESS RELEASE: Don Drummond To Retire As TD's Chief Economist: PRESS RELEASE: Don Drummond To Retire As TD's Chie... http://bit.ly/9WuIfv on Thu, 11 Mar, 2010
- U.S. Debt Grows At Slowest Pace On Record: U.S. Debt Grows At Slowest Pace On Record http://bit.ly/dgsJfU on Thu, 11 Mar, 2010
| Penny Stock Rules |
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| Saturday, 07 July 2007 04:54 |
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The term “penny stock” generally refers to low-priced (below $5), speculative securities of very small companies. While penny stocks generally are quoted over-the-counter, such as on the OTC Bulletin Board or in the Pink Sheets, they may also trade on securities exchanges, including foreign securities exchanges. In addition, penny stocks include the securities of certain private companies with no active trading market. Before a broker-dealer can sell a penny stock, SEC rules require the firm to first approve the customer for the transaction and receive from the customer a written agreement to the transaction. The firm must furnish the customer a document describing the risks of investing in penny stocks. The firm must tell the customer the current market quotation, if any, for the penny stock and the compensation the firm and its broker will receive for the trade. Finally, the firm must send monthly account statements showing the market value of each penny stock held in the customer’s account. Penny stocks may trade infrequently, which means that it may be difficult to sell penny stock shares once you own them. Because it may be difficult to find quotations for certain penny stocks, they may be impossible to accurately price. Investors in penny stocks should be prepared for the possibility that they may lose their whole investment. For more information, read the penny stock rules section of our Broker-Dealer Registration Guide. You may also want to review the penny stock rules (Securities Exchange Act Rules 3a51-1 and 15g-1 through 15g-100). Before you consider investing in the stock of any small company, be sure to read our brochure, Microcap Stock: A Guide for Investors.
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| Last Updated on Monday, 23 March 2009 13:46 |