[mage lang="" source="flickr"]making money on penny stocks[/mage]
Are penny stocks a good investment?
I i was thinking about putting like 100 dollars into some penny stocks and try to do research on them, and hopefully make some money. Any ideas on what my chances are of making money and how much I can make from something like 100 dollars?
Most brokerages charge about $8.95 a trade to buy.
That’s almost a 9% loss. Just know this.
My dad did penny stocks for a while.
He knew what he was doing.
You can make money. But when you lose – you lose BIG.
Note that when a company is tanking, if you want to sell, you must find a buyer for your stocks.
If there is no buyer, you can see that $100 going down to 0.
You might have only 1,000 investors in that stock, and it will be hard to find a buyer if the company hits turbulent times.
In conclusion he stated that he would have been better off just buying big company stocks.
Less stress, and probably the same amount of profit, since his loses were sometimes so huge…
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