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Forget Penny Stocks: Why Fractional Shares Are a Far Better Investment

WKBT February 8, 2021 7:31 AM newsfeedback@fool.com (Katie Brockman) Posted: Updated: February 9, 2021 12:21 PM Investing in the stock market can be a great way to make a lot of money. But if you’re not investing in the right places, you could potentially lose a lot of money too. Penny stocks are one of the most affordable types of investments, often trading for less than $1 per share. This can make them an appealing option for investors on a tight budget, especially considering that many companies have stock prices of hundreds or thousands of dollars per share. But penny stocks carry a substantial amount of risk, and they can wreak havoc on your finances. Fortunately, there’s a much better option: fractional shares.

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