Investing in shares can be a profitable venture if done right. However, investing in shares below Rs 10 can be a riskier proposition. Before purchasing any shares below Rs 10, there are a few things that you need to consider. Firstly, you need to research the company and the industry it operates in. It is important to understand the company’s financials, its management, and any recent news or developments that may impact its stock prices.
Secondly, you need to consider your risk tolerance. Shares below 10 Rs are often penny stocks that are highly volatile and prone to flucations.
Thirdly you need to consider the liquidity of stocks. Shares below rs 10 may have low trading volumes, which can make it difficult to buy and sell the stocks.
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