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Penny Stocks Http://

|Includes: AAPL, iPath S&P 500 VIX Short-Term Futures ETN (VXX)

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

In the United States of America, a penny stock; also known as a micro cap equity, refers to a share in a company which trades for less than $5.00. While this is the official definition, and is used by the US Securities and Exchange Commission, generally every full service or discount broker, and the vast majority of analysts and institutional investors, there are informal (but paradoxically less inclusive) criteria applied by the general public and most retail investors. In other countries the term may be used differently, without reference to US institutions.

These are worded differently, but convey the same meaning of what a penny stock is in the general sense, and specifically in the United States.

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