Stockline.org - pennystocks. If you've got questions, we've got answers. Here are 20 of the most frequently asked questions we've encountered, along with some straight-forward, plain language answers to help traders learn all the ins and outs of the pennystock market.
Diversification refers to a portfolio strategy whereby multiple types if investments are held.
Stocks, Bonds and cash are the main categories. Diversification makes your portfolio more stable and less prone to radical swings in market value. The amount and types of investments owned will be determined by your knowledge, investment goals, risk tolerance as well as other factors. A company that is designed to produce rapid growth. To fund this growth, these companies usually don't pay dividends, but put profits back into the company.