People who generally trade inultra-penny stocks are the lower class of retail investors who do not keep a portfolio approach and invest in them predicated on news or tip from some buddies, allowing the price is formerly beaten down too important and they will not lose importantly but if that turns out to be true it will double or triple their capital. still, investors should always keep in mind buying shares below 10 rupees that they might be investing in small amounts but still, they can lose 100 percent of their capital.
The trouble anultra-penny stock will go bust is equally high. The company can suddenly shut down or there can be a truly lower probability for its going concern. The capital that deserves to be invested inultra-penny or penny stocks should not be further than 2 to 3 percent of a person’s portfolio value.
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