Make Money Investing Penny Stocks. Ultimately, educated and disciplined individuals can make money on penny stocks—but it takes training, a Penny-stock trading is not for beginners. To make money trading penny stocks, you first need to find someone to sell it to you at a bargain price.
The penny stock market is rife with snake oil. "Trading Penny Stocks turned me into a self made millionaire. Stock issued by small, young companies represents the chance for very high gains but Investing in penny stocks should be considered part of a short-term, speculative tactic rather than a longer-term strategy. Penny stocks are often subject to major manipulation: They exist in a Wild West of the market with few rules.
With all of the risks involved, why would anyone want to put their hard earned money.
They have wide bid-ask spreads, low liquidity, high counterparty risk, and minimum reporting requirements.
Understand you're probably a speculator, not an investor. If a company turnaround is expected, a trader is going to Now that you know a little about how to make money investing in penny stocks, you can educate yourself even more to become an expert. When it comes to investing in penny stocks, tread with caution.