Is priced under five dollars

Is not traded on a national stock exchange or on NASDAQ (the FINRA 's automated quotation system for actively traded stocks);

May be listed in the "pink sheets" or the FINRA OTC Bulletin Board'

Is issued by a company that has less than $5 million in net tangible assets and has been in business less than three years, by a company that has under $2 million in net tangible assets and has been in business for at least three years, or by a company that has revenues of $6 million for 3 years.

If you decide to buy penny stocks, you must understand that the securities being bought have not been approved or disapproved by the Securities and Exchange Commission. Moreover, the Securities and Exchange Commission has not passed upon the fairness or the merits of this transaction nor upon the accuracy or adequacy of the information contained in any prospectus or any other information provided by an issuer or a broker or a dealer.

OTCBB and PINK SHEET Securities

Many risks are associated with OTCBB and Pink Sheet Securities. All risks listed below are associated with OTCBB and Pink Sheet Securities however they do not encompass or represent every risk involved with OTCBB and PINK SHEET Securities. Other risks may apply. Please seek additional information and assess the level of risk you are willing to take with your investment portfolio before engaging in OTCBB and Pink Sheet Securities trading. Success Trade Securities Inc. does not provide investment advice with respect to the potential value of suitability of a particular security or investment strategy. As a customer of Just2Trade.com, a division of Success Trade Securities you are responsible for you own investment decisions and we cannot be held liable for your investment choices.

Availability of order information and quotes. Due to the manual process involved with OTCBB and Pink Sheet information and execution; the availability of order, market, and quote information cannot be guaranteed. Delivery of legal confirmation, execution of orders, and execution reporting may all be significantly delayed because of the manual process involved.

Possibility of lower liquidity. Due to the lower trading volumes associated with many OTCBB and Pink Sheet Securities, the actual price of execution on a market order may be significantly different and lower than requested by the investor.   

Communication delays. Because of the manual process required for OTCBB and Pink Sheet Securities, order execution may unavailable or delayed; due to high order volume and communication risks involved with OTCBB and Pink Sheet Securities.

Canceling orders. All orders may be cancelled or edited however because electronic processing of orders is not available for these securities, it may not be possible to cancel or edit OTCBB and Pink Sheet Security orders. Due to the manual process involved with these securities, we cannot guarantee execution on any order.

Risk of loss. Because OTCBB and Pink Sheet Securities represent new or small companies, they can be very risky and it is possible to lose your entire investment when investing in these securities. Information or news regarding a company's financial condition may have a drastic effect on the price of a security and could lead to a dramatic decline or lose in the price of the security.

Fraud. Because OTCBB and Pink Sheet Securities reporting requirements are less stringent than those listed on the NASDAQ, OTCBB and Pink Sheet Securities contain a greater threat of fraud. Prior to investing, please read and review all information regard the company you plan to invest in. The market may be dominated by dealers who set prices that are not based on competitive nature or individuals may control the increase of price and trading volume by creating fraudulent markets which may cause the sudden collapse of the market price of a security.

Due to the nature of Penny Stocks, your positions will not be updated for corporate re-organization (i.e. symbol change, reverse splits, etc.) until and unless our clearing firm has properly received payment of securities from DTC or CNS. This may mean that clients owning penny stocks undergoing reorganization may not be able to immediately place sell orders for securities undergoing mandatory reorganizations. There are significant risks associated with trading Penny Stocks and you must be aware of these risks prior to trading Penny Stocks

Success Trade Securities does NOT provide any advice or information. As our customer, you are making unsolicited trades and must understand that you are responsible for your own decisions and transactions.