How to Buy Canadian Penny Stocks

by Contributor ; Updated July 27, 2017

How to Buy Canadian Penny Stocks. Penny stocks are those investments that trade for less than $5 on the market. Even though such an investment seems like a waste of time, penny stocks can grow very quickly and produce quite a bit of money in a return. Canada's economy is booming and many people are purchasing penny stocks from that country.

Step 1

Contact your investor and explain to them that you are interested in investing in penny stocks from Canada. He will then contact a stock broker that is capable of purchasing them. These stocks will be bought through the Toronto Stock Exchange.

Step 2

Speak with the investor and stock broker about what stocks are stable and growing. These will be the areas in which you want to invest. Never invest in a company whose records indicate a roller-coaster success. These are not stable companies and you could lose every cent of your money investing in them.

Step 3

Invest as little or as much money as you want to in the penny stock of your choice. With penny stocks, you can receive much more for your money than with traditional stocks and the payoff can be just as profitable.

Step 4

Check the Toronto Stock Exchange website on a daily or weekly basis to stay up to date on your stocks. Stocks are a fun way to make money, and it's even better when a stock goes from almost nothing to extreme success.

Step 5

Watch your penny stocks grow and flourish in the Canadian economy and you will definitely enjoy the proceeds when you sell all your stock.