Penny Stocks

Are Penny Stocks Right For a Bear Market?

Investing boldly in penny stocks was a huge departure from the “old school” of investing, which preached that investors should never, ever, invest in a penny stock. (Most “old school” investors relied heavily on their traditional brokers for investing advice).

Nevertheless, the penny stock market was on fire from about 1994 through 2000. The OTCBB and Pink Sheets were pretty exciting territory in those days. Trading was fast, furious, exciting, and sometimes lawless. Ten baggers were common, and it wasn’t unusual for fortunes to be made and lost in a single day.

For the newbie investor just striking out on their own, it could all be confusing and not a little overwhelming. The less regulated OTCBB and Pink Sheet Stock Exchange were very different from the more traditional, more regulated markets of the NASDAQ and NYSE.

Different types of companies, different regulations, even different trading policies confounded less experienced investors. To confound them even more, it was difficult for them to know how and where to find a trustworthy source of information.  Large media press simply didn’t cover the small, “insignificant” companies in the penny stock market. And without media coverage, how were investors supposed to get information about the newest, hottest penny stocks?

For the average investor, obtaining reliable information was an enormous effort which required long hours of sifting through the available data. Most of the work had to be done by hand, and was painstakingly slow. The process of discovery took so long that, by the time an investor had ploughed through the work required, the stock was no longer a value, and small investors had already been shut out.

Because of the difficulty, many investors simply gave up, or resigned themselves to having to pay exorbitant brokerage fees. This pretty much ensured that the best stocks to buy for small investors – the value stocks – remained a Wall Street “secret” known only to a few insiders.

Today, getting this information is not burdensome as it was in the past. With a few keystrokes, today’s investor can have access to all types of current and historic market information, including companies as yet undiscovered by the Wall Street pundits. Most of this information is free, and several services will even deliver breaking information directly to investors by email.

It’s easier than ever before to take advantage of the excellent opportunities available today to help you build significant wealth. If you’d like to be among the first to know about the newest value stocks, simply sign up here for our free penny stock advisory. There’s no obligation, just pure information to help you achieve the most impressive returns possible from penny stocks.