Investing in Penny Stocks can be a great way to earn big profits, but it can also be the fastest way to lose it all.
Yes, my own portfolio has penny stocks, and I am ready prepared to lose it all.
IF YOU INVEST IN PENNIES, INVEST WITH MONEY YOU ARE PREPARED TO LOSE
The Good
- PRICE: With Penny Stocks usually at a price of $5.00/share or less, you can use a small amount of money to buy a large volume of shares to add to your portfolio.
- LARGE PROFITS: Penny Stocks are often part of a company that's growing. If a company finally becomes established, then the price of the Penny Stock will shoot upwards in a very short period of time.
- EXTREMELY HIGH RISK: Though you could make a huge profit in a very short period of time with Penny Stocks, you can lose it all just as quickly. Companies in trouble will issue Penny Stocks to the public to earn quick money to clear debt. If unsuccessful, the company dies off and you've just lost all your money.
- NO RULES: Penny Stocks are not regulated in any way. In many cases, a scam-company is created to issue Penny Stocks to gobble-up your profit before it is disintegrated. Hence, you just lost all your cash. It can happen from one day to the next and there is nothing the Securities Exchange Commission can do about it due to lack of rules governing them.
Educate yourself & do heavy research before investing in a company's Penny Stock, or you could be sorry you didn't.
And I repeat again:
IF YOU INVEST IN PENNIES, INVEST WITH MONEY YOU ARE PREPARED TO LOSE
