Buying Pink Sheet Stocks -

: Because of low liquidity, even small trades can cause massive, rapid swings in price .

The OTC Markets Group organizes securities into tiers based on the quality and frequency of information the company discloses to the public . buying pink sheet stocks

: Small or startup companies often cannot afford the millions in listing fees and ongoing compliance costs associated with the NYSE or Nasdaq . : Because of low liquidity, even small trades

: The market is a frequent target for "pump and dump" schemes and fraudulent shell companies designed to mislead investors . 4. How to Buy Pink Sheet Stocks What Are Pink Sheet Stocks? - The Motley Fool : Because of low liquidity

: Firms that may be in financial distress or bankruptcy and provide only limited or outdated information .