Sources tell FOX Business’s Charlie Gasparino that penny stocks trading allows speculative stocks to be traded on platforms like Robinhood and Schwab.
The Securities and Exchange Commission may soon reassess the listing standards of major stock exchanges in a move that could prevent the Nasdaq and the New York Stock Exchange from listing speculative penny stocks, according to people with knowledge of the matter.
The SEC – also known as the best cop on Wall Street – has long classified as penny stocks any stock that trades below $ 5, and according to the commission, “these companies may have little or no profit” and are “Highly speculative”.
But the NYSE and Nasdaq combined list as many as 1,000 companies that would meet the SEC’s penny stock designation and therefore may not be suitable …
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