Wednesday, October 05, 2022 7:01:23 PM
Investing can be risky in general, but the risks may be heightened with trading OTC stocks. But trading higher risk stocks could result in bigger rewards if they’re able to produce above-average returns.
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When considering OTC stocks, it’s important to understand how the positives and potential negatives may balance out. It’s also helpful to consider your personal risk tolerance and investment goals to determine whether it makes sense to join the over-the-counter market.
Over-the-counter trading may be suitable for investors who are interested in early stage companies that have yet to go public via an IPO.
May appeal to active traders who are moreinterested in current pricing trends than fundamentals.
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