<?xml version="1.0" encoding="utf-8" standalone="yes"?><rss version="2.0" xmlns:atom="http://www.w3.org/2005/Atom"><channel><title>Penny Stocks on WebNotes</title><link>https://v2.webnotes.in/tags/penny-stocks/</link><description>Recent content in Penny Stocks on WebNotes</description><generator>Hugo</generator><language>en-IN</language><lastBuildDate>Sat, 20 Jun 2026 00:00:00 +0000</lastBuildDate><atom:link href="https://v2.webnotes.in/tags/penny-stocks/index.xml" rel="self" type="application/rss+xml"/><item><title>Zerodha policies and procedures: the mandatory broker policy</title><link>https://v2.webnotes.in/zerodha-policies-and-procedures/</link><pubDate>Sat, 20 Jun 2026 00:00:00 +0000</pubDate><guid>https://v2.webnotes.in/zerodha-policies-and-procedures/</guid><description>&lt;p&gt;&lt;strong&gt;Zerodha&amp;rsquo;s policies and procedures&lt;/strong&gt; is the SEBI-mandated broker policy document, published at zerodha.com/policies-and-procedures/, that sets out the operating rules between Zerodha and its clients: the risk management system, charges and penalties, margin and pledge rules, penny-stock and illiquid-security restrictions, account closure and inactivity, business-continuity arrangements, and the anti-money-laundering policy. Every SEBI-registered stock broker must publish such a document and have clients acknowledge it at account opening, which makes it the binding rulebook behind the day-to-day operation of the account.&lt;/p&gt;</description></item><item><title>Penny stock block (nudge) on Kite</title><link>https://v2.webnotes.in/penny-stock-block-nudge-on-kite/</link><pubDate>Wed, 20 May 2026 00:00:00 +0000</pubDate><guid>https://v2.webnotes.in/penny-stock-block-nudge-on-kite/</guid><description>&lt;p&gt;When a Zerodha client tries to trade a &lt;strong&gt;penny stock&lt;/strong&gt; (very low-priced scrip), Kite shows a nudge warning about the heightened risk. The nudge does not block the trade; it informs.&lt;/p&gt;
&lt;h2 id="penny-stock-criteria"&gt;Penny stock criteria&lt;/h2&gt;
&lt;ul&gt;
&lt;li&gt;&lt;strong&gt;Price below threshold&lt;/strong&gt; (typically below Rs 10).&lt;/li&gt;
&lt;li&gt;&lt;strong&gt;Often surveilled&lt;/strong&gt; (ASM Stage 1+).&lt;/li&gt;
&lt;li&gt;&lt;strong&gt;Thin liquidity.&lt;/strong&gt;&lt;/li&gt;
&lt;li&gt;&lt;strong&gt;High percentage moves&lt;/strong&gt; common.&lt;/li&gt;
&lt;/ul&gt;
&lt;h2 id="why-the-nudge"&gt;Why the nudge&lt;/h2&gt;
&lt;p&gt;Penny stocks have:&lt;/p&gt;
&lt;ul&gt;
&lt;li&gt;Higher manipulation risk.&lt;/li&gt;
&lt;li&gt;Wide bid-ask spreads.&lt;/li&gt;
&lt;li&gt;Susceptible to surveillance actions.&lt;/li&gt;
&lt;li&gt;Lower fundamental quality on average.&lt;/li&gt;
&lt;/ul&gt;
&lt;p&gt;The nudge reminds the user of these factors before proceeding.&lt;/p&gt;</description></item></channel></rss>