Chapter 9: Warnings and Risks
What you have read about penny stocks is this: the truth. We didnt sugar coat anything for you. We didnt provide you with false hope. If indeed you want to make a killing on penny stocks, you simply must take the time to do your homework thoroughly and use our strategy to make it happen.
We can not leave you without providing you with some very serious warnings and guidelines about penny stocks.
Here, you will find some less than positive things about penny stocks, but again, learning how to notice these things will help you to make the best decisions to avoid them. Remember, you can do well with penny stocks by starting with learning about the bad first.
You can also track down the company in terms of how good it is in other ways.
A List Of Penny Stocks
Would you pour in thousands of dollars to just anyone that came up to you on the street and requested money for their new business?
Get the companys name, phone number and/or their address from the broker that is selling them. True interviews with him are essential; but only after you already know the facts about him. Remember; plan to lose it all so that when it comes back to you, you are safe. Most of the time, these things are unfounded. Determine the amount of risk that you are personally okay with having in stocks. In other words, companies that trade in penny stocks do not necessarily have the assets, the business history or the net worth to be traded on the New York Stock Exchange or on other stock markets.
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