Penny stocks gives the average people an opportunity to invest their hard earned money in the share market that will help their money to grow. Buying these types of stocks can be a risky venture but there is risk in any type of investment plan especially after the recent economic downturn. According to the Security and Exchange Commission (SEC), these stocks have been termed as penny stock because they are available for less than five dollar. On the Pink Sheets or Over the Counter Bulletin Board (OTCBB) the stock companies are enlisted and trade is executed here which is popularly known as penny stock market. Read more of this.