Florida 10/14/2012 2:04:37 AM
News / Stocks

New Investors May want to Start with Penny Stocks

Looking to start investing, but don’t want to risk large portions of your savings? New investors can start small with penny stocks. Penny stocks are stocks that trade under $5.00. They typically trade on the Over The Counter (OTC) exchange. Also known as micro-cap or small cap stocks, the term penny stock is most commonly used for stocks priced less than a dollar per share.

Penny stocks are versatile investments because an investor doesn’t have to put up a lot of money to see a high return. They are a great entry point to the world of investing. Blue chip stocks, on the other hand, require a handsome sum of money to simply get started. And one could lose all of their investment in as little as one day, leaving themselves empty handed. And with OTCtipReporter.com’s free daily newsletter, even amateur investors can see explosive growth through penny stocks.

Penny stocks can see gains as much as 400% within a week. An investor can buy several hundred shares for the price of a tank full of gas, yield a nice return, and continue investing. At worse case, a bad penny stock investment will simply be a speed bump, not a brick wall. OTCtipReporter.com helps to eliminate speed bumps by providing hot penny stock trends in a comprehensive, daily newsletter. Best of all, the newsletter is free. Sign up now for free and start making some serious money.