Buying Penny Stocks the Lazy Person's Way

Buying penny stocks can produce high profitsreturns will also have the highest risk, but in penny
quickly from relatively small investments, but itstock investing, the high rate of fraud increases
also carries quite a bit of risk. Risk can be reducedthe risk well beyond just what is produced by the
through careful evaluation of stocks, but thenatural tendencies of the market.
evaluation process is difficult and can require a lotTo overcome the risks, buying penny stocks has
of time.traditionally required a large investment of time to
There is a new computer "bot" that has beenresearch stocks to avoid the scams and predict a
created that analyzes penny stocks thoroughrelatively good rate of return. A careful penny
in-depth mathematical analysis and by doing sostock investor could spend quite a bit of time
dramatically decreases the risks and increases theevaluating a single stock. This effort would
profits from buying penny stocks, while greatlyhopefully pay off in the long-run, but the time
simplifying the work of choosing what stocks torequired in doing this often made penny stock
buy and when. As you probably guessed, ainvesting out of the question for part time
system this effective comes at a rather highinvestors.
cost, but there is an inexpensive way for evenThen along came "Marl", which is a penny stock
the smallest stock investor to get beneits from it.buying computer bot designed by a couple of
Penny stock investing has big advantages when itguys that had the unusual combination of
comes to large, rapid returns on investment, andcomputer programming expertise and in-depth
the fact that penny stocks are priced low enoughunderstanding of stock investing. Marl has several
for even very small investors to buy stocks andadvantages over human investors, but the
have the opportunity for a diversified portfolio.biggest advantage Marl has is that there are no
With penny stocks, a change in the price of theemotions involved in his stock picks. Marl makes
stock of just a few cents can mean a largehis picks based on cold, hard, statistical calculations.
change in the value of the stock on a percentagePlus, Marl can do a detailed analysis of hundreds of
basis, leading to a large potential return onstocks in less time than it would take even an
investment, especially when compared to theexpert stock analyst to do a cursory evaluation
usual return on investments with higher valuedof just one stock. This doesn't completely
stocks.eliminate the risks of buying penny stocks, but it
To show the power of penny stock pricedoes cut down on the risk considerably.
changes, let's do a comparison. If you wanted toMarl has been so effective that he has allowed
invest $1000 and found a stock you decided tofor huge gains by advanced investors. Because of
buy at $100 per share, if it increases by $1 perthis, Marl is considered a bargain at the $28,000
share, you'll have made $10. On the other hand, iflicensing fee, but bargain or not, this is well beyond
you invested $1000 in a penny stock that initiallythe means of small investors. There is an option
sold at $1 per share and it increases by $1 perto use Marl that is available to investors with even
share, you'll make $1000!the smallest of budgets though. The guys that
Now, by the same token, penny stocks can losedeveloped Marl put out an e-newsletter that gives
a bunch of money very quickly too, which is oneMarl's top penny stock pick for each week. For
reason why it is important to be very carefulnew investors, this might be even better than
when buying penny stocks. Another reason thatbuying the full Marl program, as it narrows down
penny stock investing is risky is because of shadythe investment options to just one stock every
or outright fraudulent practices of some individualsweek, instead of figuring out what to buy out of
involved in marketing and selling penny stocks. Ithundreds of options. Using this system, even
is often very hard to get reliable information tocomplete novices have the potential to make
really evaluate penny stocks, as companies thatgood returns on their penny stock investments.
issue these stocks are not legally required to fileAlthough the inventors of Marl have indicated that
financial reports with the Securities and Exchangethey will be limiting their subscriber list to the
Commission.newsletter and may stop selling new subscriptions
Various unscrupulous tactics may be used to lurein the near future, hopefully they will have
unsuspecting investors into buying penny stockscompassion for the small investors who need all
as a ploy to drive up the stock price and thenthe help they can get and continue to allow new
insiders may quickly sell of their stock at a highsubscribers long-term. In the meantime, small
price. The sell-off drops the stock value sharplyinvestors now have an option to dramatically
and the investors take a big loss. In investing, it isassist them in buying penny stocks.
typical that investments with the highest potential