Let's answer Penny Stocks

Let's answer Penny Stocks 

If trading penny stocks and other forms of non-productive investment, which is why there are so many people will always be looking for the share of profits do? Penny stocks, as it happens, originated in the late 1940s, Utah's mining area. Unregulated uranium mining rights shares were sold in Salt Lake City a cafe opposite the coffee counter. This is the Wild West days is more than reminiscent of World War II era. Today, trade penny stocks have come to the country to enjoy international recognition. 

Although not happen often, they can be like the New York Stock Exchange, the American Stock Exchange and the U.S. Securities and Exchange NASDAQ trading with a minimum of formalities. 

General trading $ 5.00 below the small company stock, Securities and Exchange Commission has defined penny stocks. In the UK, the figure is one pound. This may seem a misnomer, because it is not unusual for the stock on the New York Stock Exchange trading penny stocks than those with low prices. 

But who are just starting out, it failed to recognize that penny stocks market is an "undesirable" place to do business in. Many of them are poorly run businesses, impersonator, every penny stocks have a great services or products connected to it. They have fancy websites, almost inaccessible offices and UPS mailbox address. 

They have no profit, no cash or balance sheet. No prospects for the future. However, it is little wonder that these "flying night" companies rake in millions of dollars. The most conservative investors know the risks involved and avoid penny stocks. But for most of them is a lifeline for the survival of additional revenue, the thought is a prudent investment and income thousands of dollars too strong to resist temptation. After all. Where can I buy a few cents of the shares and sell them in an hour at least 2-3 times the amount. 

It turns out that most of the people, may be higher than 95%, this is a no win situation. The reason is simple, because this is when it comes to penny stocks, it can be quite difficult, single-handedly, to gather information about their background and reliability. In addition, the stock hovered at a few cents a majority of people tend to be casual, and sometimes frivolous. They like to exercise their own judgment rather than seeking professional help. But this idea is often disastrous. 

Investors have come to realize that most of the penny stock company's own commitments and promises may not only fall short, but it is entirely possible to become extinct. However, 2% -3% of the enterprises survival of all millionaires. Almost all of the assets of these companies, including gold, real estate and blue chip outstanding performance. Investment from 500-2000 yuan restrictions and penny stocks, in addition to readily available, move very fast, when the correct manner. Giants such as IBM, Apple, and other abuses in the same humble way to success, it is not a coincidence. 

Most experts recommend that you do not put all your money in high-risk areas without proper evaluation of your investment advice. In the long term success depends on your quality of your broker. Pick a traditional broker, rather than a discount broker. Traditional, although expensive, is your investment philosophy, prepared reports.and your portfolio's performance. Whether to buy or sell, they will handle all transactions. 

But remember, in the long run, do not rely on the expertise of individual investors a longer time than is necessary. Therefore, it is up to you to hone your skills and develop the ability to make sound financial decisions. 

...