Wealthy "accredited investors" can sometimes buy shares directly from a private company before it goes public. This involves signing legal contracts directly with the company. ⚠️ Critical Risks of Penny Stocks
: Often called "Pink Sheets," these have the fewest listing requirements and the highest risk. Dark and Defunct Stocks can you buy penny stocks without a broker
: Individual investors don't have direct access to exchange floors or electronic "dark pools" where trading happens. Dark and Defunct Stocks : Individual investors don't
Stock markets are not like flea markets; you can't simply hand cash to a company owner in exchange for shares. It is categorized into tiers: : The top
If you are looking to avoid brokers to save on fees or bypass "red tape," be aware of the inherent dangers in this sector:
The OTC Markets Group is the primary platform for penny stocks. It is categorized into tiers: : The top tier for established companies. OTCQB : The venture market for early-stage companies.