Where to Buy Penny Stocks
If you've decided to invest in penny stocks, the first decision you need to make is where to buy penny stocks.
You have several options. The two major ones are investing using an investment advisor and setting up a brokerage account, or trading online yourself utilizing the many penny stock websites available to you.
Using an investment advisor is a great idea for anyone new to buying penny stocks. Although you have to give part of the money you make to the advisor as his commission, they are also there to help you filter through the millions of recommendations you can see on any given day which may or may not be legitimate.
There is a large amount of fraud involving penny stocks, it is said that up to 50% of penny stocks are fraudulent in some way. A trained professional can help you weed through the good and bad penny stocks.
Also, the advisor has a vested interest in whether you make money or not, so they will share their knowledge with you and help you make strong decisions. Because penny stocks are not traded on the NYSE or NASDAQ, there are not as many requirements for these stocks as stocks that are traded on the bigger exchanges. Furthermore, since they are not as well regulated, penny stocks can be extremely risky. Using an advisor can help your results overall to be more positive.
On the other hand, you can choose to trade penny stocks yourself using websites. These sites often offer advice as well, and they charge typically per transaction vs. on commission. If you wind up making a good deal of money on your penny stock trading, this can save you a substantial sum of money, which you can keep in your pocket rather than paying out to an advisor.
This is often better suited for an experienced trader, or someone who isn't concerned with losing a little money here or there while they train themselves.
Trading penny stocks can be a rewarding investment technique if handled properly, and if you are trying to decide where to buy penny stocks, these are the two options that can help you with your penny stock trading.
You have several options. The two major ones are investing using an investment advisor and setting up a brokerage account, or trading online yourself utilizing the many penny stock websites available to you.
Using an investment advisor is a great idea for anyone new to buying penny stocks. Although you have to give part of the money you make to the advisor as his commission, they are also there to help you filter through the millions of recommendations you can see on any given day which may or may not be legitimate.
There is a large amount of fraud involving penny stocks, it is said that up to 50% of penny stocks are fraudulent in some way. A trained professional can help you weed through the good and bad penny stocks.
Also, the advisor has a vested interest in whether you make money or not, so they will share their knowledge with you and help you make strong decisions. Because penny stocks are not traded on the NYSE or NASDAQ, there are not as many requirements for these stocks as stocks that are traded on the bigger exchanges. Furthermore, since they are not as well regulated, penny stocks can be extremely risky. Using an advisor can help your results overall to be more positive.
On the other hand, you can choose to trade penny stocks yourself using websites. These sites often offer advice as well, and they charge typically per transaction vs. on commission. If you wind up making a good deal of money on your penny stock trading, this can save you a substantial sum of money, which you can keep in your pocket rather than paying out to an advisor.
This is often better suited for an experienced trader, or someone who isn't concerned with losing a little money here or there while they train themselves.
Trading penny stocks can be a rewarding investment technique if handled properly, and if you are trying to decide where to buy penny stocks, these are the two options that can help you with your penny stock trading.
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