The best penny stock mutual funds
71Have you seen the news about penny stocks?
I have seen hundreds of emails, ads and even faxes explaining the virtues of penny stocks. In most cases a claim is made that a stock is about to explode in value giving the investor 2000 percent gains.
I am not an individual stock picker and am a big believer in selecting the best mutual funds managed by the best managers to invest my hard earned money. Given the fact that penny stocks can allegedly give great returns I set out to find the best penny stock mutual fund to invest my money. The results were astounding.
Penny stock investing
The best penny stock mutual funds are:
There are no best penny stock mutual funds in fact I could not find any mutual funds that invest in penny stocks. If penny stocks were as profitable as advertised one would believe there would be hordes of mutual funds dedicated to investing in penny stocks with tremendous returns. The truth is there are no mutual funds that invest in penny stocks because such a fund would yield such poor returns that the fund would soon cease to exist.
I can tell you from personal experience that investing in penny stocks is one of the fastest ways to turn nearly a thousand dollars into a value meal or perhaps a cup of coffee. Penny stocks should not be part of your investment plan. Penny stocks are one of the biggest mistakes an investor can make.
Please avoid penny stocks. Develop your own asset allocation and invest in the best funds in those asset classes. Once the investor has their asset allocation select the best small cap, best mid cap, large cap, bond, global and even concentrated portfolio funds for their portfolio.
Regardless if you are investing in your IRA, 401K, 403B or taxable account invest your hard earned money wisely. How you invest can be as important as how much you invest.
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Penny stocks sound just like gambling to me. And with gambling...more people lose than win which is your point I would guess. Thanks!
Penny stocks are like gambling. I think your odds are better at the casino.
Your title enticed me to read this hub, though I had a sneaking suspicion what was coming! : ) Very good advice to stay away from the penny stocks. For most people wasting money is not an option these days.
Thank you Daddy Paul for giving us this headsup information. I am happy to know this and will make sure I do not make the mistake of investing in penny stocks.
Thanks for this, Daddy Paul - my Grandad used to say 'You never get owt for nowt' (you never get something for nothing) - so true and this is a really good article, thanks
I know of only one individual that played around with penny stocks and made a couple of hundred dollars back. Of course, that was years ago, and we always thought that probably "lady luck was just on his side." Thanks for sharing your insight. :)
Thanks for sharing a great hub! as always, I enjoyed reading your hubs. Thanks again.
I have a web site where I cover stocks under five dollars. I am a astute value investor I have been researching penny stocks for a long time. what most investors fail to releize about penny stocks is that most penny stocks that trade under one dollar are of poor quality the penny stocks of higher quality trade between 1 dollar and five dollars a share there are many stocks today that once traded under five dollars for example ford motor corp. was a one dollar stock two years ago petsmarts was trading around two dollars ten years ago and even apple computer traded under five dollars in 1998 these are only a few examples.
Penny Stocks are certainly not for the average investor. I agree with Mr. Moylan's comments above as their is some tremendous value in some companies valued between $1 and $5 per share. Of course, you MUST do your homework and undertand the inherent risk in violent price swings, professional and highly capitalized traders manipulating the selling / buying pressure, and lower trade volume.
sheer narrowmindedness never siezes to surprise me in the financial industry by the so called man on the street. pennystocks provide a chance to become financially free. i am a pennystock investor and i use the technicals to trade these money making machines called stocks and i can assure you that you a big buck trading these stocks. for example if you invested in the apple stock in 98 you could have walked away with a cool 9000%. take that mister daddy paul
pennystocktrader
I am very glad you are successful.Perhaps you would like to start a mutual fund. I am sure you could get investors. I would love to see how someone can make money in penny stocks on a regular basis.
Hell, I don't even touch the big-board any more! My last fiasco ended up in the listing going bankrupt,dropping off the NYC and I ended up with nothing. "Buy & hold", my a...! No, to take it a little further than Daddy Paul, if you're retired with less than a million dollars in assets, you have no business owning stock of any sort!
Invest wisely
- Investing Wisely - Home Page
If you want to invest successfully you are going to need to take two actions. Start as soon as possible and invest wisely. Configure a good asset allocation; add money regularly (Dollar cost averaging), choose the best funds - Daddy Paul
My blog. - Mutual Fund and investing tips
There are recommendations on your 401K and IRAs. There is even a guide to the best mutual funds. Credit cards, we even have advice on those too. I hope you will enjoy and profit from what I have to write.
Sandyspider Level 1 Commenter 2 years ago
Thanks for the information.