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What are the risks associated with penny stocks

Penny stocks can be super tempting because of their low prices, but they come with a bunch of risks. First off, they’re really volatile, which means their prices can swing wildly in a short time. Plus, they often have low trading volumes, making it hard to sell your shares when you want to. There’s also a higher chance of fraud or scams since these companies aren’t always required to follow the same regulations as bigger ones. So, if you’re thinking about diving into penny stocks, just be ready for a wild ride!